According to a joint statement from the two companies on Wednesday, the strategic cooperation aims to combine the strengths of each company to provide top-of-the-line solutions that allow business partners to complement customer journeys with insurance and protection solutions at the touch of a button.
Allianz Partners will work with bolttech to provide embedded solutions to business partners, such as retailers/e-tailers of electronic products/home appliances, telecom providers, banks/insurers, and OEMs.
The aim of the collaboration is to make it simpler and easier for customers to buy protection at the touch point for a variety of household products (mobile, digital, white and brown goods) and household appliances.
Together, the strengths of both partners will bring a wider array of products and services. Allianz Partners brings a global presence, with a strong presence in Asia-Pacific (APAC) and the United States, as well as the ability to support the business growth.
Bolttech has underwriting and servicing expertise in appliance protection, as well as a variety of other insurance products, including travel, mobility and cyber, as well as home insurance.
With Allianz Partners’ strengths, bolttech will be able to combine its technology and servicing capabilities with Allianz’s strengths to distribute device protection and other insurance products into digital or hybrid customer experiences, backed by proven technology, operations and customer service.
The partnership aims to protect customers in a fast-growing market. According to Swiss Re research, global insurance penetration stands at 7 percent of GDP, and non-life insurance penetration in Asia is 2 percent in 2021.
According to them, one example of this gap is the protection of valuables in the home including digital devices which are playing an increasingly central role in people’s lives as they become more reliant on them to manage their finances and daily life needs.
Thus, they see device and appliance protection insurance remains a largely underpenetrated market globally, and there is a significant opportunity to meet this growing customer need.
Cited research from both Statista and bolttech, they highlighted that global market for extended warranty and accidental damage cover for consumer electronic devices and household appliances is expected to increase to more than $210 billion within the next four years, from approximately $160 billion today.