UK InsurTech investment reaches record levels
Written by Anthony Strzalek
Investment in UK InsurTech has surged to record levels despite Brexit ‘jitters’, according to a new Accenture analysis.
The study, based on figures from CB Insights, found that UK InsurTech investment increased to £218 million in the first half of 2017, compared to £7.3 million the year before.
One major deal had a dramatic impact in the UK (Gryphon Insurance raising £180 million). However, even without it, funding increased from £7.3 million to £38.3 million year-over-year, increasing by 422 per cent. The rest of Europe combined raised £104 million in the same period.
The figures come despite uncertainty following the UK’s vote to leave the European Union, with London remaining the undisputed centre for European InsurTech investment – 30 per cent of all deals in the continent took place in the city.
Deal activity in the UK also accelerated in 2017, with a quarter of all UK InsurTech deals since 2010 made in the first half of this year. The number of deals jumped by 75 per cent from the same period last year.
Commenting on the findings, Accenture’s digital and innovation lead for insurance, Roy Jubraj, said: “2017 is looking like the year of UK InsurTech, with a dramatic increase in investment and deals in the last 12 months. Europe overall is gathering momentum, with the UK topping the table and confirming its place as a global hub for InsurTech.
“This year the UK witnessed one of the largest global InsurTech deals, which is a strong sign for UK investment and something the UK will be mindful in preserving as we move towards a post-Brexit economy.”