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Research has shown that petting and playing with animals reduces stress, in as little as a few minutes. Globally, the last two years have surely been the most stressful time in modern history. As we faced one isolating lockdown after another, where did many of us turn for comfort? To animals. Pet adoptions soared globally and in South Africa. Pets give us comfort. Pets give us hope. Pets give us unconditional love. Do we give enough in return?

We are quick to ensure that members of our family are adequately covered at all times, so that, should they be injured or fall ill, we know they will be able to get the care or treatment they need – yet how many of us do the same for the animal members of our family? Woefully few. In 2016 it was estimated that there were about 10 million pets in South Africa,  yet less than 1% of them were insured. In Sweden, by comparison, 90% of dogs are covered and 50% of cats.

Vet bills can mount up significantly, and most South African pet owners simply cannot afford them in the current economy. As a result, uninsured pets may be put down or left to suffer, when surgery or ongoing medication could have saved them. 

The demand for pet insurance in South Africa has grown significantly in recent years, as more pet owners realise this fact – but the easier and quicker it is to take out pet insurance, the faster its take-up will spread. 

By fully digitising the pet insurance value chain, and making it universally accessible via every possible consumer touch point (through “omnichannel” distribution), Click2Sure is enabling non-insurers to launch insurers, and striving to make pets as easy to insure as they are to love. Founder, Daniel Guasco:

 “The growth in pet ownership has been immense during the pandemic and has been mirrored by     a thriving pet goods market. Now is the time for South African pet owners, and the industry that serves them, to give back to millions of pets by insuring them against injury or illness. As a leading digital insurance enabler, we are ready to partner with pet food, health care and accessories brands to place the offer of fast, easy pet insurance on every pet product in every supermarket and vet.”

Do it because you care – as well as for business growth

If yours is one such brand – yet the quest of increasing insurance cover for pets is not compelling enough for your ExCo’s bottom line – then please share these stats with your CFO: the pet insurance market neared $7 billion in value in 2020 and is set to grow at almost 12.8% per year until 2030. At the same time, digital insurance (of all kinds) could reach $279 billion in value by 2030. Bring the two together, as digital pet insurance, and it’s clear you have a pedigree revenue-generating opportunity.

It’s also a valuable brand-building opportunity, because the insurance would not be branded “Click2Sure”, it would be engineered by us, and underwritten by an underwriter, but branded and offered to pet owners by you. 

Why 10 million new pet insurance policies is not a far-fetched goal

  • Through our embedded insurance cloud software, Click2Sure can thread pet insurance distribution into every customer touch point: your website and mobisite; social media channels; WhatsApp, SMS or USSD; at till points and via QR codes printed on pet food, hygiene products and accessories. Pet owners won’t be able to miss your insurance offer.

  • Because your distribution costs will be practically zero (no human distributors required),
    your policy premiums can be competitively low, negating “affordability” resistance from customers.

  • New insurance policies can be activated in just a few clicks (hence our name), rendering all excuses of “I’ll get to pet insurance when I have time” irrelevant. 

Your customers would embrace pet insurance – now, will you?

By making insurance distribution all-digital and cost-effective, and by making insurance administration easy through intuitive software with built-in automation, Click2Sure has transformed insurance into a property that any non-insurer can practically launch and manage, with the support of a licensed underwriter. With a mandate to minimise both cost and time, we implement digital insurance MVPs in as little as 30 days. We partner with companies in multiple sectors:

  • Retailers
  • Food suppliers
  • Original equipment manufacturers
  • FMCGs
  • Traditional insurers ready to innovate and go paperless
  • Insurance startups similar to the UK’s Waggel 

You can train pet insurance to do new tricks

  • Ultra pet food shows that there are different ways insurance products can be structured for customers – it offers free basic cover (accidental injuries only) to customers in return for ongoing purchases of Ultra dog or cat food.

  • Launch pet insurance with us and your competitive ratio of distribution costs vs incremental revenue could enable you to do even more for pets, by enabling you to donate a percentage of policy premiums to animal shelters in great need – as Waggle’s example shows. 

How technology makes insurance more compelling to consumers 

Unlike traditional insurance, which can be viewed as a non-urgent afterthought (I’ll get around to it later), digital insurance can be embedded into the consumer experience when it is most relevant and compelling to them – at the point of sale. Some examples of how a pet owner might take out digital pet insurance:

  • It’s tick season so they stop at the vet to pick up some Petarmor. At home they see an invitation on the pack to take up pet insurance in just a few minutes, via WhatsApp (not doing so would feel like they’re letting their Very Good Boy down).

  • They buy a bag of Royal Canin at the supermarket and there’s a QR code on the pack
    that they can scan to take up pet insurance just as quickly.

  • They visit Pet Heaven online to order some new dog blankets and the home page has an offer to cover their pets in another way, too – through insurance.

In the old days of insurance, a lot of “drop-off” happened when consumers, initially genuinely interested in taking out pet insurance, were put off by the onerous paperwork and/or time on the phone it would require. We’ve made it so easy to apply for and activate insurance, in a few self-service clicks, that interested policyholders won’t slip the leash.

Interested in launching pet insurance but still worried about the cost?

In the old days, launching insurance would have been an expensive undertaking requiring a call centre, distributors, administrators, new business systems and an I.T. team – but because digital insurance is set-up, distributed and run via cloud-based SaaS it is a very cost-effective business venture. There are virtually no distribution costs and no need to hire more staff. 

In partnering with us, you would pay only for implementation of the solution, and an ongoing monthly subscription for the underlying insurance software. Click2Sure would be responsible for updating the software, making sure it works smoothly at all times, and optimising security in the cloud. The development, implementation and training timeline for the solution would be brisk, meaning a faster time to return on investment (ROI).

Struggling to believe that managing insurance can be easy?

Our quest, in launching Click2Sure, was to digitise the entire traditional insurance value chain, removing as much paperwork and complexity as technology would allow, from distribution through to claims settlements. We also sought to automate functionality wherever we could. Now, our clients are able to access and manage all aspects of their insurance product via one digital portal:

  • Policy adjustments
  • Claims management access
  • Visible timestamp of all events
  • Financial management (reportable via Bordereau)

Automated functionality:

  • Automated claims approval mechanisms
  • AI fraud detection mechanisms
  • Claims status and updates tracked in real time
  • Auto (and manual) flagging of potentially fraudulent claims
  • Policy alerts and payment reminders for customers

Our clients’ policy holders can easily manage their policies, view T&Cs, lodge claims and submit enquiries on any device, via an easy to navigate client portal. 

The way insurtechs like ours are engineering insurance today, as cloud-hosted SaaS, represents the insurance industry’s biggest transformation since the advent of the Internet.

What does the future of pet insurance look like?

Implementing digital pet insurance currently requires a three-way partnership between the insurance provider, an underwriter and a technology partner like Click2Sure. In the future a fourth partner will come into the mix – a pet tracking tech vendor

Wearable sensors could enable pets’ exercise frequency, weight and general wellness to be tracked, with owners of “fitter” animals able to enjoy lower insurance premiums in the same way some life insurers reduce premiums for human customers who show evidence of a healthy lifestyle (like YuLife). This integration of lifestyle and technology will appeal to younger pet owners already familiar with such an arrangement in their own lives, bringing on board the next generation of pet insurance policy holders. 

Pets give us unconditional love. Now let’s give back – by making pets as easy to insure as they are to love. Get in touch to launch your pet brand’s insurance product in 30 days. If you are a traditional insurer looking to digitalise your pet insurance offering, we’d love to assist.

Call us on 0027 (10) 045 4019 or e-mail hello@click2sure.co.za.