This blog includes information for insurance startups and entrepreneurs. Herein rounded up three simple solutions by Root Insurance (unicorn car insurance startup), which you can consider during auto insurance app development.
As the pace of digital advancement is continually increasing, the insurance industry is all set to grow in the near future. The insurance industry is set for fundamental transformation. Talking about the insurance industry, then we can’t forget to mention about car insurance startup company, Root Car Insurance app for Android, which has become a newborn unicorn. According to the latest report from TechCrunch, “Root Insurance App has bagged $100 million in Series D round of funding for a $1 billion valuation.” The funding round is led by Tiger Global Management.
Before knowing more about Root Insurance app, let us have a look at the trends of auto insurance across the world and how it is popular in searches.
Insights: The Stats & Trends of Auto Insurance App
- As per the report from CB Insights, “In the year 2013, US insurance startups raised $225M across 50 deals. And, until then, the US insurance tech startups have raised $4.75 billion to 350 deals.”
- According to Google Trends, here is the search term “auto general insurance app” which has been on trending since 2004. This is what you can see in the image.
Interest by region:
Root Insurance: An Auto Insurance App
- An Ohio-based car insurance startup, Root Insurance, was founded in 2015 by Alex Timm and Dan Manages.
- The total funding amount is $177.5M
- From April 2018, Root Insurance app is available in 20 states of the United States, including Arizona, Arkansas, Delaware, Indiana, Ohio, Texas, and Utah.
- “The unicorn company, Root Insurance, is leading digital innovation in the United States auto insurance”, according to Lee Fixel (a partner at Tiger Global Management).
- The Google Play Rank is #20 of Root mobile insurance app in Fthe inance category. On the other hand, the Apple Store Rank is #30.
Give a Thought to These 3 Simple Solutions Before Developing Successful Auto Insurance Apps like Root Insurance
1. A Different Business Approach
An auto insurance startup company, Root Insurance, is based on a very different business model as it provides an easy and different way to provide insurance to its app users or car drivers. As it tracks users’ driving behavior, including think braking, turns and how much user drives. The app uses such information in order to calculate the rate of app user or driver. If the user has good driving skills, then he/she will receive a quote. The better driver he or she is, the better quote he/she will receive.
The auto insurance app, Root Insurance, uses telematics to find out the best drivers to make accessing and using car insurance easy. After the test drive, once the user receives a quote, then he/she can customize and purchase the policy right in the app.
App users can find insurance card and make changes to policy and file a claim from the app. In addition, the user can choose to cancel his/her insurance policy directly the app. Well, Root Insurance app is not on the new concept, but it has a different business approach for car drivers and allows them to switch their old insurance policy. Even, users can manage and purchase policies from the app.
2. Provide Real-Time & Context-based Auto Insurance Policy
The Root is considered as the best Insurance app that has not only analyzed the pain points of skilled car drivers who usually do not get the right car insurance, but it has provided a technology solution to their lives in order to provide a seamless experience. When it comes to solutions, it comes up with the real-time and context-based solutions for car insurance seekers.
The app allows permission to users in order to access GPS, accelerometers and gyroscopes data on the smartphone, and making it possible for the car insurance companies to evaluate app users’ driving. The Root Insurance app uses mobile-first and data-driven approach to provide real-time and context-based auto insurance policy depending on driving data, which is gathered through applicants’ smartphones during the test drive. During the quoting process, the mobile-enabled driving assessment is foremost to get high points and insurance.
3. Artificial Intelligence (AI) Has Disrupted The Insurtech
By using the machine learning and AI (artificial intelligence), Root Insurance app analyzes the data from the user’s phone via app in order to determine driving behavior.
Before developing the Root Insurance app, which is based on AI (Artificial Intelligence) algorithm, the company understood the needs of its customers and analyze different things like:
- How much time the vehicle is in use
- The frequent destinations
- Whether drivers/app users change lanes excessively or not while driving and their driving speed
- To what extent drivers do follow the traffic rules
- If they use their smartphones while driving
After this, the company stops monitoring. The driver/user receives a report on driving, and it allows the insurer to reduce its prices by accepting those drivers, who are at low risk and thereby increasing the average quality of their customer pool that in the end means fewer payouts.
Being an insurance tech startup, if you have ever planned to create an auto insurance app, then you can keep an eye on these simple solutions, which would not be missed. All you just provide solutions, which can provide a seamless experience as what they have never ever experienced before.
Some Important Features of Car Insurance App
If you are a startup or an entrepreneur, who want to create a car insurance app like Root Insurance, check out some important features that a car or auto insurance app must have:
- User Profile
- Real-Time GPS Tracking
- AI-enabled Integrated Chat
- Push Notifications
- Multi-lingual Support
- Payment Gateway Integration
- Cross-platform Ability
You have just gone through with the simple solutions by unicorn car insurance startup named Root Insurance. Well, the concept of insurance based on data-generated in real-time is what insurance tech startups have been investing so far. Being a car insurance startup, if you are having an insurance app idea, then you can cross-verify it with us as we are a leading mobile app development company and have already developed over 3500 mobile applications along with different features and functionalities.
In case, if you still have any query or confusion regarding app development cost of auto insurance, the average cost of developing an app, how to make money with an app idea, Indian app developers cost, then you can get in touch with us through our contact us form. One of our sales representatives will revert to you as soon as possible. The consultation is absolutely free of cost.
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This page was last edited on May 6th, 2020, at 9:04.