August, 5 2021
Industry Challenge
Income Insurance aims to protect students against underemployment
What: Augustana College is paying for Income Insurance for its incoming transfer students. This means that if these students make less than the expected income for their major, then the insurer will pay the difference for 5 years.
Quote: With research showing that amid the pandemic students are concerned about landing quality jobs upon graduation, Nick Ducoff, co-founder of Edmit observes that, “There’s no doubt this type of offering makes sense.”
Why it matters: The world is underinsured, this is yet another example of how innovative products can help people get the coverage they need. It’s an interesting approach that uses insurance to cover the university’s expected return on investment. A shorter term alternative will be needed as 5 years of coverage is probably cost prohibitive.
Read: Augustana College tests income insurance for transfer students
Industry Challenge
Travel insurance is now a requirement for a Costa Rica vacation
What: With the pandemic affecting how people travel and sometimes requiring changes to travel plans, Costa Rica joins a growing list of countries that require visitors to have travel insurance before vacationing.
Why it matters: Did you know that under a 2017 law there’s an exception to typical insurance broker licensing requirements that allows travel agents to promote travel insurance? Expect this development to result in rapid growth for customized travel insurance and embedded travel coverage.
AI Designed Insurance: Our AI tackled this challenge and created Trundle. It bundles legal requirements with a pay-as-you-go model—take a look!
Industry Challenge
Stressed people are a growing target market for new products
What: Major companies are starting to tailor their messaging and products to helping stressed-out people. From making seat belt reminders more relaxing to reducing color contrasts, companies are trying to capture this “stressed” market.
Quote: “In June, nearly one-third of Americans reported experiencing symptoms of anxiety or depression … In 2019, only 11% of Americans reported such symptoms.”
Why it matters: This is yet another example of how we are headed towards unprecedented times, with unforeseen risks and evolving insurance challenges. In parallel with these risks, however, there are good opportunities for companies to innovate and grow.
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