A contribution from deutsche-startups.de
Dennis Just, founder and CEO of Knip, has observed the traditional insurance industry and its response to changes since founding his insurance startup Knip with great interest, respect for the industry, but also a little amusement. In a guest article on deutsche-startups, he presents his perspective on the old economy and explains why the industry needs more collaboration and a sense of innovation.
I am convinced that the old and new economies can benefit from each other if established companies engage in exchange with young market participants and jointly raise awareness among end customers in order to expand the market as a whole.
Old Economy must rethink
For decades, the insurance market has been generating a lot of money for its sales-oriented players. For them, it would truly be best if everything simply stayed the same. If only it weren't for the customers: They have long since become accustomed to fast, good, and transparent service in other areas of life and now demand the same from their insurance providers.
People over profit: Many young companies share this new approach and offer the combination of modern technology and honest advice that customers demand. As an alternative to the legacy business model, we are driving progress in the industry, which now needs to invest in innovative solutions to avoid falling behind the smartphone generation.
The time is ripe for change
The insurance industry is by no means the first to face such a transformation. Banks, taxis, hotels, and tourism – many have been turned upside down by new technologies and young companies. And time and again, I observe the same reactions and emotions from the large, established market players: curiosity and constructive criticism on the one hand, fear and aggressive displays of power on the other.
