Lloyd’s has tweaked its Lloyd’s Lab for 2002, adding a specific digital space for new products, which they have called the Product Launchpad.
It’s a shrewd move, as no matter how brilliant a new idea might be, it still needs some marketing push, at exactly the right time, to make an impression in a crowded global insurtech market. There are innovation hubs from Finland to NYC, from Singapore to Sydney, so for London to retain some true global reach, it needs all its ducks in a row when it comes to launching new insurance products.
It’s also right on target in its approach to developing and launching new insurance products for rapidly evolving `black swan’ type events. One lesson we can all learn from Covid19 is that it never pays to underestimate the panicky reaction of politicians and experts, when presented with a potentially catastrophic event. Automated, parametric insurance has a great deal going for it as a future solution to cyber, crypto and healthcare emergencies.
Here’s the word from Lloyd’s;
The ‘Lloyd’s Product Launchpad’ is the new home for the development of insurance solutions to tackle emerging risks.
The Lloyd’s Product Launchpad has been created to continue the work of the Product Innovation Facility and enable the Lloyd’s market to keep partnering with Insurtech, advancing innovation and developing new insurance solutions. Under the oversight of the Lloyd’s Lab team, potential ideas reaching the Lab through its expanding programme can now be directed to the most relevant place, whether in the Lab, the Launchpad or other areas of the business like the Disaster Risk Facility.
The rebrand has been supported by the twenty-five members of the initiative from the Lloyd’s market. Since its creation in 2019, the Product Innovation Facility has given underwriters a space to experiment with new ideas in a safe and controlled way, balancing the need for oversight with the risk of excessive red tape.
With a capacity of £150m, several success stories have emerged, for example: a parametric business interruption product for cloud outages, launched by Parametrix in 2020, and a cryptocurrency product – Coincover – offering investors and traders protection against the theft of “hot” wallets.
More info here.