Daimler and Swiss Re launch new company Movinx to transform automotive and mobility insurance business
- Movinx is a 50/50 joint venture of Daimler Insurance Services and Swiss Re.
- Partners aim to transform and innovate automotive and mobility insurance with fully digital business model and focus on flexible and customer-centric products.
- New company is located in Berlin and set up as insurance intermediary and service provider.
Stuttgart/Zürich. Daimler Insurance Services and Swiss Re have entered into a strategic partnership for automotive and mobility insurance and launched a new company called Movinx. Both shareholders of the 50/50 joint venture will leverage their complementary expertise to establish a new business model. The aim is to develop fully digital automotive and mobility insurance products that both fulfill changing customer needs and offer best-in-class service quality. Movinx has received all necessary competition clearances.
Ingo Telschow, CEO Daimler Insurance Services, said: “By joining forces with Swiss Re we can lead transformation in an evolving market environment and advance insurance business. We will establish a new business model as well as co-create and co-own an insurance platform. This platform enables easy and efficient insurance purchase and customer-centric services by using real time data. Furthermore, we as Daimler Insurance Services are going deeper into the value chain of insurance business, having more influence on product development and pricing.”
Pravina Ladva, Swiss Re’s Digital Transformation Officer, said: “We believe that partnering with Daimler Insurance Services and establishing Movinx will take us to the next level in innovating mobility insurance. Our joint long-term ambition is to unlock an ecosystem interplay where insurance supports the introduction of new technologies such as advanced driving assistance systems and autonomous cars as well as new business models in the mobility area.”
The automotive industry and the motor insurance sector are undergoing a significant transformation. Rapid developments are taking place on the technological side, such as e-mobility and automated driving or on business model side with the shift from ownership to usage. Insurance needs to evolve to deal with these developments and the challenges they create for pricing and claims handling.
Joint vision: flexible and fully digital automotive and mobility insurance products
With the aim of creating a new business model, Movinx will act as a Managing General Agent (MGA). It enables an embedded mobility and insurance customer journey – making insurance an integrated part of the vehicle purchase. Instead of today’s rather short-term oriented partnerships between car manufacturers and various insurers, the focus is on a joint development journey to offer flexible and fully digital products. Movinx enables the introduction of new insurance propositions efficiently across a range of markets, e.g. with the underlying technology platform.
Cooperations with further partners possible
The joint venture will be open for cooperations with other stakeholders such as car manufacturers or, more generally, mobility service providers. Future partners will benefit from our co-owned insurance MGA and be able to offer white-labeled solutions globally. Instead of having to deal with many insurers, the manufacturer has one sparring partner, Movinx, across countries.
Movinx will partner with locally licensed insurers to deliver its solutions to the end-customers and cover insurance risk. Insurers and other stakeholders can connect to the IT platform and profit from centralised operations and automated processes supported by a combination of machine- and deep-learning technologies. By connecting to the MGA's platform, insurers benefit from not having to build tailored and quickly changing insurance programs.
Movinx will be located in Berlin and is set to expand quickly
Sebastiaan Bongers, Head Mobility Ventures at Swiss Re, and Andreas Roth, Head Digital Insurance Model at Daimler Insurance Services, will lead the new company. Offices opened in Berlin in October. The first insurance products and services are planned to launch in France in 2021. In the coming years, further market entries are planned across Europe, in the Americas, and in Asia.