In this video interview for The Insurer TV, Max Aronchick, Managing Director and Leader of the InsurTech Center of Excellence, discussed how the market for insurtechs has reached a more disciplined, “rational” phase, in which transactions hinge on individual merit.
“Every deal really stands on its own,” Max explained. “We’ve really gone past a phase in the market where people are looking at insurtechs … and really broadly characterizing them as a class.”
He also mentioned how reinsurers and investors are gravitating toward managing general agents (MGAs) and carriers that focus on specific dislocated segments rather than broad categories. These opportunities range from lift-outs of mature carrier teams to tech-enabled start-ups targeting micro-commercial or specialty classes where legacy players struggle to compete.