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Month: April 2024

InsureTerms by Locke Lord

Welcome to InsureTerms

Our partners over at Locke Lord have generously agreed to contribute to the InsurTech NY community with some educational pieces about the insurance industry and commonly used terms in it. We will be adding to this InsureTerms list periodically, so check back for more insights from Locke Lord’s team.

 

Service Contract

“Service Contract” – also known by its street name “Extended Warranty” – means a contract for which separate consideration is paid by the purchaser and under which the counterparty agrees to replace or repair tangible consumer property or goods because of operational or structural failure due to a defect in materials, workmanship, or normal wear and tear, with or without additional provision for incidental payment of indemnity under limited circumstances. A service contract is a quasi-insurance product in that it is regulated in most states under their insurance codes, and while some states’ service contract laws require licensure or registration of service contract providers or obligors, they are not regulated as insurance companies. In a few states, sales representatives or agents are required to hold a license akin to an insurance producer license.
November 27th, 2024 | Contribution by BCasey@lockelord.com

 

GLBA

GLBA, the Gramm-Leach-Bliley Act, also known as the Financial Services Modernization Act of 1999, is an act of the 106th United States Congress (1999–2001). Title V thereof established the first comprehensive federal statutory law governing data privacy and security of the non-public personal information of personal, family or household products customers of financial institutions, e.g., banks, credit unions, savings and loan associations, securities brokerages and insurance companies and producers. GLBA delegated the implementation of its data privacy and security, enabling statutes to the relevant functional regulators, which in the case of the insurance industry was the National Association of Insurance Commissioners (NAIC). In 2000, the NAIC promulgated its GLBA regulation, the Privacy of Consumer Financial and Health Information Regulation (Model Law 672-1), which is now under review by the NAIC for upgrades given that the consumer data privacy and security landscape has changed drastically since the year 2000.
August 30, 2024 | Contribution by BCasey@lockelord.com

 

SAP

Insurance statutory accounting principles for insurance companies which are codified in the National Association of Insurance Commissioners’ Accounting Practices & Procedures Manual, and sometimes by a “permitted practice” of a state insurance department; the term is oftentimes used as an accounting reference for insurance company financial matters in a stock purchase agreement, managing general agreement and reinsurance agreement. SAP is an enterprise liquidation value oriented method of accounting, which is much different than U.S. Generally Accepted Accounting Principles, which an insurance holding company would normally use for preparing its financial statements.
June 27, 2024 | Contribution by BCasey@lockelord.com

 

MGA

A Managing General Agent, which has both business and legal context meanings. In the business context, an MGA is an insurance producer that, under an agreement with an insurer, has the authority from the insurer to produce insurance business using the insurer’s policy forms and rates, or policy forms and rates developed by the MGA for use in the name of the insurer, and may also handle insurance claims for the insurance policies produced by the MGA. Oftentimes, an MGA will bring a reinsurance company partner to the transaction that will reinsure the “fronting insurer” for which the MGA acts. From a legal perspective, many state insurance departments issue a separate MGA license to a licensed insurance producer where it meets the legal definition of an MGA, which generally is an insurance producer that

  1. manages all or a part of an insurer’s business,
  2. annually produces total gross written premiums for the insurer equal to or more than 5% of the insurer’s most recent year-end total policyholders surplus and
  3. either (i) handles insurance claims for the insurer or (ii) negotiates ceded reinsurance for the insurer.

April 9, 2024 | Contribution by BCasey@lockelord.com

AM Best TV covers the 2024 Spring Conference

AM Best TV Covers the 2024 InsurTech Spring Conference. Several amazing intervews and features! Check out the list below for a full rundown on their coverage of the conference, containing incredible insights and exclusive content, or click here to view the full archive on AM Best TV’s website. For other press mentions relating to the conference, click here.


Insurtech Leaders Say a Strong Insurance Background Is Part of Successful Recipe
Attendees to the InsurTech 2024 Spring Conference in New York cited the increasing importance of combining experienced insurance professionals with sophisticated tech founders to navigate the complexities of the insurance sector.
http://www.ambest.com/v.asp?v=itnywrap324&AltSrc=182

 

Hanover’s Morris: Growth of E&S Sector Opens Up Small Commercial Market
Basil Morris, senior vice president and chief strategy officer, Hanover, estimated the size of the small commercial insurance market at 25 million businesses. Morris spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=bmorris324&AltSrc=182

 

Many Insurtechs Face Longer Sales Cycles, Complex Language
Josh Curry, executive vice president, BMS Group, said insurtech firms operating in the software as a service model should focus on patient, long-term growth. Curry spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=curry324&AltSrc=182

 

Puritan’s Duty: Annuity Customers Want Convenience, Speed
Meg Duty, senior vice president, Puritan Life & Canvas Annuity, said Canvas Annuity launched a fully online annuity distribution platform that allows consumers to purchase annuities directly in under ten minutes. Duty spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=duty324&AltSrc=182

 

InnSure’s Lowell: $5 Million Prize Will Further the Development of Climate Tech
Christopher Lowell, managing director, InnSure, said the prize is backed by the New York State Energy Research & Development Authority and aims to support innovation. Lowell spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=lowell324&AltSrc=182

 

Gallagher’s Marcucci: Insurance Brokers Should Adapt to AI
Rhonda Marcucci, VP of Innovation, Gallagher, said brokers can leverage artificial intelligence for efficiency, data mining and predictive analysis. Marcucci spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=marcucci324&AltSrc=182

 

Conning’s Mazumdar: Digital Labor Helps Expand Insurtechs’ Scope
Manu Mazumdar, head of data analytics, insurance technology and retirement, Conning, said artificial intelligence is becoming a more important tool, but accuracy remains a concern. Mazumdar spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=mazumdar324&AltSrc=182

 

Arch’s Adams: Third-Party Data Is Useful Only if It Helps Tell a Story
Bryan Adams, head of catastrophe analysis, Arch, said integrating data into existing systems is a technical challenge, but the bigger challenge is making sense of the data and using it effectively. Adams spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=badams324&AltSrc=182

 

Counterpart’s Hackett: Use of AI In Assessing Legal Risk Is Developing Into an Arms Race
Tanner Hackett, CEO and founder, Counterpart, said insurers must keep up with an increasingly sophisticated, technologically enabled plaintiffs’ bar. Hackett spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=hackett324&AltSrc=182

 

Cowbell’s Kudale: AI Is Enabling the Next Wave of Cyberrisks
Jack Kudale, founder and CEO, Cowbell, said cyber defenses continue to evolve, with attackers leveraging artificial intelligence to develop new ways to penetrate cyber defenses. Kudale spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=kudale324&AltSrc=182

 

Empathy’s Gura: Technology Helps Insurers Redefine Relationships With Insureds
Ron Gura, co-founder and CEO, Empathy, said technology is helping to transform the life insurance space from transactional relationships to more engaging, supportive interactions. Gura spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=gura324&AltSrc=182

 

Unum Ventures’ Young: Carriers Can Offer Tech Startups Unique Advantages
Justin Young, assistant vice president, Unum Ventures, said the carrier-backed investment arm offers domain expertise; market insights; testing opportunities with Unum’s client base; and access to distribution networks. Young spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=jyoung324&AltSrc=182

 

InsurTech NY Founders: Insurtech Startup Activity Favors Niche, Specialty, Life, Health
David Gritz and Tony Lew, managing directors and co-founders, InsurTech NY, said some startups also aim to enhance longevity and health, and provide better retirement protection. Both spoke with AM Best TV at the InsurTech 2024 Spring Conference in New York.
http://www.ambest.com/v.asp?v=gritzlew324&AltSrc=182

 

 

Spring Conference Success & Media Mentions

This year’s Spring Conference was a success!

See what all the buzz was about…

MEDIA RECAP 2024

Digital Insurer

ON LINKEDIN – At InsurTech NY March 20-21, speakers on panels shared insights on embedded insurance, underwriting innovation, and innovating during core systems upgrades…

Read Post


Life Annuity Specialist

IN PDF, March 22, 2024 – “Insurers had better get on board with artificial intelligence because it’s here to stay, say industry watchers. ‘I think that AI is already sticking,’ said Todd Rissel, CEO of e2Value, Inc., a property appraisal company in Stamford, Conn., who was speaking at the Spring InsurTech Conference in New York this week…”

See Article


WInsurance insider USA

ON WEBSITE – InsurTech M&A seems to be showing signs of life. While there hasn’t been an influx of completed deals, more discussions have been taking place compared to last year, attendees at the Insurtech Spring Conference said…

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PDF Icon

IN PDF, April 1, 2024 – “Regulations, I don’t see them as a roadblock,” said Nanditha Nandy, head of data-driven underwriting solutions for Swiss Re, speaking at the InsurTech NY conference in March. “They are the necessary gatekeepers. If we are able to explain the decision-making, we should be fine.”

See Article


Video Icon

VIDEOS, April 5, 2024
AM Best TV has covered the Insurtech 2024 Spring Conference thoroughly. Click here for a full breakdown of their content around the conference with topics like: “Insurtech Leaders Say a Strong Insurance Background Is Part of Successful Recipe”

Watch Clip


Video Icon

VIDEO, April 2, 2024 – “Root CEO Alex Timm has said the insurtech appreciates the recent recognition it has received for its performance among investors, and argued that the auto specialist’s technology advantage is starting to become more evident as it outperforms the industry.”

Watch Clip


CB insights

ON WEBSITE, March 27, 2024 – “InsurTech NY — an insurtech community association, incubator, and investor — held its 2024 Spring Conference on March 20 and 21. Presentations and panels centered on the new wave of opportunities from AI and data analytics within insurance. We look at the key themes and use CB Insights data to dig into the underlying trends.”

Read Article


The Insurer TV

ON WEBSITE, April 5, 2024 – “InsurTech NY founders: Group aiming to provide “ecosystem” to foster community. InsurTech NY’s co-founders David Gritz and Tony Lew have outlined the group’s mission of fostering community within the segment and to leverage their insights and relationships to invest and incubate start-ups to help them get off the ground.”

Watch Clip


Arch Insurance

ON WEBSITE, April 11, 2024 – “Following InsurTech NY‘s Spring Conference, Arch’s Bryan Adams sat down with Michael Shashoua from Digital Insurance to discuss third-party data management. The pair explored both challenges and solutions for the insurance industry when it comes to handling third-party data. Bryan even shared two data-related trends on the horizon that have caught his interest.”

Watch Clip