Insights
Our collection on industry insights shall support you and inspire to continue research
Find out how digitalization and AI will redefine the insurance industry.
Embedded Insurance closes protection gaps and grow the value of the insurance industry.
Open Insurance allows accessing and sharing data via APIs
Insurance undertakings have to use data and Big Data analytics processes to assess and underwrite risks, price insurance policies or pay insurance claims. Artificial Intelligence in the insurance value chain raises opportunities and challenges.
Insights on sector-specific insurance economics and data.
Publicly listed large insurers typically exhibit a market valuation multiple to revenue ranging from around 1.4x to 2.2x. For example, Tokio Marine might have a multiple closer to 1.4x, while companies like Chubb, Berkshire Hathaway, and Progressive can be valued around 2.2x. In contrast, smaller specialty insurers can achieve significantly higher multiples, often exceeding 3x and sometimes reaching over 5x, due to their niche focus, higher growth potential, and specialized market positioning. One of our peers, the insurance startup Accelerant, achieved a price-to-book multiple of 16x in its 2023 financing round, raising $150 million at a valuation of $2.4 billion. With equity of $300 million and senior debt of $120 million, Accelerant also attained a revenue valuation multiple of 1.5x on written premium of $1.6b.
Insights on the convergence of Reinsurance and Equity
Insights on the convergence of Insurance,Asset Management and Equity Financing
Occupational pension funds, also called the 2nd pillar, complete the basic 1st pillar AVS/AI/APG system (old age, disability, loss of income).
EIOPA published a set of rules under DORA for ICT and third-party risk management and incident classification
Supervisory authorities seek to protect the public interest by contributing to the short-, medium- and long-term stability, effectiveness and sustainability of the financial system.
Insights on Mergers & Acquisitions views
Some view on the future of P&C insurance
Insights how private equity firms and insurers have built a symbiotic relationship
Insights on MGAs in the insurance distribution chain
Warren Buffett’s concept of the “insurance float” is one of the most fascinating and powerful mechanisms in the world of finance. At its core, the float represents the pool of capital that an insurance company holds temporarily – premiums collected from policyholders that are not yet paid out in claims. Buffett, through his company Berkshire Hathaway, has famously mastered the art of using this float to generate substantial investment returns. Unlike traditional capital, which needs to be raised through debt or equity, the float is essentially borrowed money that doesn’t incur interest and can be reinvested by the insurance company for profit.Buffett has referred to the insurance float as a “double-edged sword”—not only does the float generate investment income, but it also comes at no cost if underwriting is profitable.