Here’s a round-up of July 2021’s insurance industry-related M&As and partnerships.
Allstate extends reach to smaller retailers
Allstate Protection Plans is launching Allstate Protection Plans Express, a program that will enable smaller retailers to offer the company’s warranty products. Allstate is working with Falcon API to develop a more easy-to-integrate API by mapping onto retail items when sold. The protection plan covers 24 categories including consumer electronics, home appliances and furniture.
Aurora to go public with SPAC deal
Self-driving technology startup Aurora announced in mid-July that it will go public through a deal with Reinvent Technology Partners Y for $13 billion. The company plans to focus on automating heavy trucks, with its first product slated to enter the commercial market in late 2023.
CURE auto launches in Michigan
New Jersey-based not-for-profit auto insurer CURE has been granted a license to expand into Michigan to offer state residents savings of up to 50% on their policies. According to the governor, this expansion has been in the works for more than two years. CURE does not use credit scores and bases rates on driving history instead.
Everquote to acquire PolicyFuel
Everquote has agreed to acquire insurance agency accelerator PolicyFuel and its affiliated entities to offer a policy-sales-as-a-service for P&C carrier partners for $16 million. This deal will further enhance the personalized shopping experience offered to Everquote consumers.
Ford, Lyft and Argo AI collaborate to offer robotaxi service
Argo AI, Ford and Lyft partnered to offer robotaxi trips to Lyft customers in Miami and Austin within the next year, marking it as the first large-scale US collaboration between a carmaker, a self-driving developer and a ride-hailing company. The companies plan to deploy at least 1,000 robotaxis in multiple cities within the next five years.
Greater Than AI insurance approved in Arizona
AI insurtech company Greater Than AI has been approved to issue AI-priced auto insurance policies across the state of Arizona starting fall 2021. The company has partnered with CoverCube and Aegis Security to accurately price risk and nudge more environmentally friendly driving, as well as speed up the underwriting process and reduce overhead for claims and administration. The patented AI technology trains on new driving data and assesses driving risk and CO2 emissions in real-time.
Kin Insurance to go public with SPAC deal
Chicago-based insurance-technology startup Kin Insurance Inc. announced that it would go public through a merger with Omnichannel Acquisition Corp. The transaction is expected to provide Kin with approximately $242 million to fund growth. The company also recently agreed to buy an inactive insurer that is licensed in 43 states and is focused on providing coverage to areas exposed to natural disasters.
Liberty Mutual buys State Auto
Liberty Mutual agreed to buy State Auto Financial Corp at a value of $2.29 billion. The purchase price is three times higher than State Auto’s closing price of July 9. Liberty Mutual could have been motivated by a desire to expand its P&C business after divesting its group life insurance unit a few years ago, according to Bloomberg Intelligence analyst Matthew Palazola.
Outdoorsy launches Roamly
Outdoorsy, an RV rental and travel marketplace launched Roamly, an insurtech company that aims to eliminate the “gray zone” that comes with renting RVs. Roamly uses data and machine-learning from its parent company to craft insurance coverages for customers and understand where someone is on their trip and what times of the year they use their RV.
Policygenius and Ellevest collaborate, also in talks to go public
Policygenius announced a partnership with Ellevest, a robo-advisor investment platform, to offer Ellevest customers life insurance fulfillment through the Policygenius online marketplace. Ellevest is well-known for helping women grow their financial assets and is seeking to broaden its marketplace offerings with life insurance.
USAA partners with Resideo, takes on e-gaming sponsorship
USAA is expanding into home technology by partnering with smart-home solutions provider Resideo, which is a spinoff of manufacturing conglomerate Honeywell. USAA has been working in the connected devices space for years, and plans to offer policyholders more control in protecting their homes with this partnership.
The San Antonio-based carrier also announced that it signed a sponsorship deal with Call of Duty league team Minnesota Røkkr. As a part of the deal, the USAA name and logo will appear on the players’ uniforms and the team will produce sponsored content throughout the game broadcast. This isn’t the first time an insurance carrier has entered the gaming industry — State Farm partnered up with Twitch streamers in April 2021.