German Insurer One Issues Challenge to Lemonade

ONE, the German Insurtech company, is promising to outdo insurtech startup Lemonade by creating a completely new customer experience, one that will guide their daily decisions.

“Insurance is a massive market. In fact it is the largest industry in the world that has not even slightly been disrupted by technology,” said Julian Teicke, the CEO of WeFox, the insurance company that bought ONE. “Banking has been disrupted, Energy has been disrupted, Services have been disrupted, Health has been disrupted, Software has been disrupted. Insurance is ready to finally be disrupted.”

Teicke promised to “outgrow Lemonade right from the start.”

“Initially, customers had to actively supply data by answering questions; once that was done, they would turn completely passive, not really caring about their insurance products in their everyday lives,” Teicke said. “ONE will radically change this; customers begin passive, as sensors collect all required data. ONE will then actively guide customers’ daily decisions.”

Wefox, the German insurance platform that enables customers, insurance brokers and insurance providers to transact and manage insurance products digitally, acquired One, in June.

Teicke was critical of Lemonade in an online post:

“While Lemonade has truly created an eye-opening and beautiful customer experience, not a lot of  true innovations are visible in their product,” Teicke wrote. “Initially, their vision seemed to have been to create a P2P insurance company – we don’t see any elements in their product where a group of individuals pool their premiums together to insure themselves against a risk. We also don’t see true simplification in the insurance product itself. To be fair, in their last release, they have added some great product innovation: Adjusting insurance coverage in real time.”

ONE wants to completely redefine insurance by “turning the insurance experience upside down.” The company believes the “innate nature of insurance product needs to change fundamentally. No argument there. Teicke believes that soon enough the data required to calculate the price of actually exposed risk will be picked up real time.


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