Benefits of Partnering With an Embedded Insurance Platform
More software companies are moving toward embedded protection for their platforms. In particular, the specialized nature of vertical SaaS makes it well-suited for industry-specific coverage products. Vertical software platforms experience high adoption and conversion rates due to the tailored nature of their embedded insurance offers. Platforms experience:New revenue streams that scale automatically with growth + minimal overhead
Revenue protection form refund requests
Higher customer retention
Learn more about the reasons platforms are moving to embedded insurance.
How to Evaluate Embedded Insurance Platforms
Embedded insurance is on the rise, and finding the right partner for your platform means the difference between long-term platform growth and a failed experiment. If you’re evaluating partners, here are a few key considerations to identify which embedded insurance platforms work best for vertical SaaS.Integration Capabilities
Embedded insurance offers should flow seamlessly within your existing user experience. If users have to leave your platform to purchase the coverage they need, you’ll see a significant drop off in policy attach rates, and you won’t see the same improvement in your checkout or registration conversion rate. Offers should be presented right at the point of risk, and they should feel native to your platform.
A flexible API allows your users to see a quote, select their preferred offer, and purchase coverage without ever being redirected outside of your platform. A clean REST API and webhooks for real-time messages and updates that don’t bog down your server are key. Additionally, the more information the partner is able to provide you about policy purchases, specific insurance product performance, and conversion rates.
An important distinction is that, while tech expertise and flexibility is key, a great embedded insurance partner won’t require an intense build with heavy customization on your end. A good partnership shouldn’t require multiple dev cycles of work from your team; it should be easy to adopt so that you can start seeing benefits right away. Look for a partner with drop-in components that integrate across different browsers, platforms, and frameworks.
Speed to implementation is another major indicator that you’ve found the right option for your platform. It should take between 60–90 days for a well-fitting embedded insurance partner to help your team implement coverage using their tech. In some cases, the timeline can be even shorter, allowing activation in as little as a few weeks depending on factors like platform size and workflow layout.
Vertical SaaS Expertise
The right embedded insurance partner will understand the needs of your platform, customer, and end users as a whole ecosystem within your vertical industry. Generic insurance providers don’t understand your platform customers’ unique needs. An insurance partner that works with vertical SaaS will already have underwriting experience within your niche, and they’ll be mindful of the nuanced scenarios your customers deal with daily.
Deep vertical knowledge comes in handy in situations where certain coverage products may technically fit a vertical workflow, but the downstream impacts lead to more complications. For instance, a CFAR (Cancel For Any Reason) policy for youth sports registration may seem like a great way to offer families flexibility. However, when this type of policy is applied to youth leagues, it undermines the commitment required to keep a team running. A CFAR policy can quickly lose leagues and platforms money by allowing for dropouts to happen at any time, putting tournaments and entire seasons in jeopardy.
In addition, your insurance integration partner should already be operating in all states so that licensing and compliance is already taken care of for your users across the U.S.
Customizable Insurance Products
Relevant coverage offers are almost never one-size-fits-all for users. Built-in coverage needs to make sense for not only your workflow but the real-life needs of end-users. Your platform solves specific industry problems, and the protection you embed should actually cover relevant perils as opposed to generic coverage. You need a nimble partner with the ability to provide optimized offers for each individual user.Case Studies: Why Vertical Insure Is the Right Partner
SkiSync
When SkiSync shifted to partner with Vertical Insure, they experienced a 300% increase in Trip Protection conversion rates over their previous carrier.
Goodshuffle
Goodshuffle partnered with Vertical Insure to increase conversion rates 50% since implementation and raise the max coverage limit.
Aktivate
Aktivate serves a wide range of youth sports activities and needed flexible coverage. With Vertical Insure, they implemented the right products.