Why Marketplaces Switch to Embedded Protection in Two Years

Businesses are becoming increasingly savvy about their digital transformation, finding ways to expand their operations without breaking the bank. Yet, one crucial aspect often left in the shadows is customer protection – insurance and the like. It tends to be set and forgotten with a traditional insurance provider as a mere line item. Admittedly, few people find their protection programming exciting or interesting; it's not typically viewed as a growth lever. However, it's time for marketplaces and tech-driven businesses to elevate their insurance and protection game beyond the initial years and consider making a strategic switch. This move ensures customers have the necessary protection while simultaneously unlocking a pivotal growth lever for the entire business.

In recognizing the natural progression of companies with embedded protection and insurance, it's important to understand that every company undergoes a unique journey. Many commence this journey with a traditional insurance solution. Why? Because it requires minimal effort, can be launched swiftly, and begins to establish attachment rates. However, after a few years of working with a more conventional solution and accumulating substantial data, companies often reach a point where they're ready to transition to a more sophisticated offering – be it embedded protection in the form of assurance or embedded insurance.

Here's where Tint steps in with a fresh perspective. Instead of looking down on, or worse, ignoring the initial years spent with a traditional solution, we see it as an integral part of a company's journey with embedded protection. We understand that companies evolve, and their needs transform over time. Tint can seamlessly support this evolution by offering assurance and insurance solutions designed to empower companies with more ownership, flexibility, and, ultimately, increased profits. So, whether your business is at the beginning of its embedded protection journey or poised for a sophisticated leap, Tint is here to assist.

Let's explore the transformative power of AI, machine learning, and embedded protection and how it's reshaping the insurance industry.

The Evolution of Cost Optimization

For most people, a traditional partner is the first step towards protection programming. That's fine. Go with what you know. But to fully optimize costs, businesses should start by abandoning outdated systems and adopting modern, tech-driven approaches.

Thanks to innovative digital platforms, customers can easily and quickly access insurance products without any physical interaction. Cloud computing, big data analytics, and artificial intelligence have made obtaining protection even easier and more cost-effective for everyone involved. Protection partners can now offer coverage in previously unexplored areas, all while improving their overall efficiency and keeping prices super competitive.

The Insurtech Revolution

Insurance-as-a-Service (IaaS) is an ecosystem designed to enhance the protection industry's efficiency, customization, and competitiveness through digital technology. This evolution has opened the floodgates to a range of innovative products and services, from AI-driven predictive analytics to risk assessment based on historically rich data.

Insurtech is no longer a niche term. For years, insurers have been struggling to find ways to increase productivity and unlock the potential that's been trapped in the value chain. However, with the latest technology advancements, insurtechs have bridged this gap, acquired customers, optimized existing systems, streamlined processes, managed risk, and uncovered new opportunities. This has reinvented the value chain and unlocked hidden opportunities previously undiscovered or even impossible to do at the time. The companies that will stand out from the rest quickly reinvent themselves and leverage a deeper, proactive understanding of their customers to bring the right products to market at the right time through multiple channels; insurtechs have allowed one of those channels to be protection programming.

The Value of Embedded Insurance

Tech platforms, including marketplaces, eCommerce, and sharing economy sites, no longer need to stand by and watch others reap the rewards of this emerging trend in insurance. For ages, protection coverage was something that people had to go out of their way to purchase. But that's all changing with the rise of embedded protection. This innovative concept allows coverage to seamlessly integrate into the sale of a product, service, or platform in real-time or at the point of sale. The result? A smoother and more personalized experience for customers, who can access affordable and relevant protection exactly when and where they need it. Not only does embedded protection benefit customers, but it also lowers distribution costs and opens up new revenue streams for businesses.

Moreover, it sets you apart from competitors. Offering protection as an integral part of your core service adds significant value, providing a seamless user experience and increasing lifetime value.

Revenue Generation

For businesses, embedded protection products offer new revenue streams and increased customer engagement opportunities. For protection partners, it means more effectiveness via the ease of distribution and targeting the real coverage needs of consumers. The benefits don't stop there. Embedded protection also helps the entire industry progress as a whole. It creates more distribution opportunities, greater sales channels, and better performance across the board. The emergence of embedded insurance has opened up a new model to effectively distribute protection services and revolutionize the way businesses can interact with their customers by being proactive partners in their intrinsic risks, working to get them the proper coverage in every situation. It's a win-win for all parties involved. As conversion rates increase, businesses will profit from selling protection products, making embedded protection a valuable addition to any business model.

Overcoming "The Switch"

It's crucial to recognize that every business will have a unique journey with customer protection, whether assurance or insurance. For many, this journey will start with a traditional insurance solution. No real shock there. But as companies evolve and accumulate data over a few years with a more traditional solution, a natural inclination towards a more sophisticated offering will likely emerge.

However, switching to the realm of insurtech can be an intimidating prospect, especially considering the intricacies of an industry already marked by heavy regulation and complexity. With distinct insurance laws for each type of product in every state, compliance becomes an additional layer of complication. So when evaluating a potential protection partner, it becomes imperative to carefully balance the potential benefits against the formidable obstacles. Fortunately, taking advantage of what a comprehensive protection ecosystem can offer will alleviate the burdens of creating and maintaining a compliant program, irrespective of the industry.

Guided Expertise

It can’t be over-stated that a proactive protection program is crucial for any progressive business. Working with the right protection partner can offer invaluable guidance on crucial matters such as evaluating risk, managing claims, and ensuring legal compliance. It's super important for businesses to keep up with what their customers want in this constantly changing market. A solid protection plan can help your business thrive and stay ahead of the competition.

A Bright Future with Tint

If you've contemplated adding embedded protection to enhance your core offerings and create an additional revenue stream, now is the time to act. With its vast protection ecosystem, Tint will be your partner in this transformative journey.

Tint understands this evolutionary path and knows how to use the experience and data gleaned as a rock-solid foundation for the next steps needed.

With the recent addition of the sale of insurance to Tint's portfolio, our approach is rooted in the understanding that every company's evolution is unique. Tint is committed to supporting businesses at every stage of their journey by offering assurance and insurance solutions. 

As CEO Matheus Riolfi said recently, "We will take on as many roles as they would like us to." providing a range of solutions to help companies take more control and increase their profits.

It's not merely about promoting a switch but facilitating and supporting a seamless transition in the business's next stage of growth. 

Whether a business is just starting with embedded protection or is poised for a program upgrade, Tint is here to assist, offering the tools and solutions needed to unlock new levels of growth and profitability while ensuring compliance and peace of mind.

Here are some of the top-of-mind reasons progressive companies are making the switch from a plug-and-play traditional provider to Tint's Protection Ecosystem:

If you're ready to leap into innovation, build customer trust, and boost your profits, there's no time like the present to get started.

Take the Next Step

Are you ready to revolutionize your business with embedded protection and insurtech? Let's GO! Connect with Tint's Protection Pros today so we can start you on your path towards a more sophisticated, dynamic embedded protection program.

But before you go, take our quick quiz to determine if and when you'll be ready to switch to a more advanced embedded protection program. Click below to get started!

Don't miss out on the insurtech wave—ride it with Tint and secure your future.