B2B Payments

CoverWallet Expands SMB InsurTech Tool To Brokers

Small business InsurTech startup CoverWallet is positioning itself directly with insurance brokerages, according to Insurance Journal reports Tuesday (December 4).

The company aims to “reinvent insurance for small businesses” and launched to provide small business owners with access to insurance products and management solutions. Now, the company is looking to expand by working with brokers, too, and Chief Executive Officer Inaki Berenguer told the publication that 16 agencies have already been onboarded to the platform — with an additional 100 ready to be added.

The CoverWallet portal offers a “Partner With Us” link, which allows third parties to submit ideas and concepts to the company for possible partnerships.

“This was not for other agencies,” Berenguer explained, adding that instead the link was intended to facilitate collaboration with suppliers of non-insurance products and services to small businesses. “But agents were completing this before we even had the product.”

He said insurance broker startups were particularly quick to contact the company about possible collaboration, with interest stemming from the streamlined quote process CoverWallet offers directly to small business clients. Its platform allows users to quickly benchmark average insurance premiums that small businesses pay based on location size and industry, a useful tool to third-party brokers that have traditionally relied on paper-based and manual processes to provide quotes to their SMBs.

“Agents are an integral part of small business insurance, and we are making it easy for them to leverage technology without needing to build their own complex integration or to have direct relationships or appointments with carriers,” said CoverWallet Vice President of Product Aman Khaira in a statement.

Linking brokers to the platform means CoverWallet can link these professionals with quotes and policies for their small business customers without having to work directly with an insurance carrier, reports noted, adding that CoverWallet retains a part of the commission that brokers receive if they secure a contract.



The pressure on banks to modernize their payments capabilities to support initiatives such as ISO 20022 and instant/real time payments has been exacerbated by the emergence of COVID-19 and the compelling need to quickly scale operations due to the rapid growth of contactless payments, and subsequent increase in digitization. Given this new normal, the need for agility and optimization across the payments processing value chain is imperative.