Founded in 2015, Covomo offers technology and sales tools for special and niche insurances, such as travel, pet, electronics or bike insurance. The main ingredient for their success recipe is their team, consisting of insurance and technology domain experts working jointly together with the ultimate goal to fulfill the highest expectations of user friendliness as well as smart and easy connectivity to existing systems and processes.
What are your business areas?
Covomo’s three areas of business are our B2B2C comparison platform, our Digital Safe and our Embedded Insurance Solution. With our Comparison Platform we enable German insurance brokers and other partners such as Verivox, to serve their customers holistically and strengthen customer loyalty by providing them with both, the product quantity of special and niche insurances as well as fully digital and super simple processes. This serves the sole purpose of saving time (and money) in sales of products with a low margin. Moreover, Covomo helps their partners to protect their customer interface, as end customers are less likely to use other B2C comparison platforms as their broker can offer insurance products for every situation.
Our Digital Safe is a B2B2C application where end customers can digitize their valuables including all necessary information and documents and close the right insurance coverage in just a minute. Valuables such as Smartphones, Tablets, Travels or Jewelleries are automatically identified at the point of sales through our transaction data analysis. With the Digital Safe we enable banks, insurance companies and other financial services provider with all necessary operational services, such as premium collection, claims management or customer service, and the obvious plug and play software to make an easy entrance into the world of product and niche insurances. With our Embedded Insurance offering we help insurance companies to integrate their insurance products into checkout processes and Apps via modern APIs. Our focus here is on the (e-)bike and electronics sector.
Why do you believe that Covomo can offer a “plus” to financial home?
Covomo can be viewed as the entrance hall of a financial home, especially attracting a young and digital savvy customer segment, as our insurance products are super easy to understand, nonetheless protecting the most beloved things in customers’ lives. In our function as a trust builder, customers are warmed up for more complex financial products such as disability or pension products. We are the kick-off of a larger engagement potential within a Financial Home context. With the data we collect and analyze we also generate a perfect basis for cross selling. As customers gave us and our partners permission to analyze their transaction data, this data can be used for a lot more than the digital safe. We can for example analyze shopping behaviors which build the basis for other financial products such as loans. Ultimately, we build up trust in advice for needed insurance cover and therewith open the door for advice of higher margin products such as life and health insurance. To stick to our entrance hall picture, we make a great first impression of the financial home that customers will have a good feeling moving on.
Based on a behavioural analysis of consumers, do you believe that your product could add value even in markets where the purchasing power is lower?
This question can be answered with a clear „Yes“. Especially in lesser developed countries, some valuables Covomo provides insurance coverage for are even more important to be protected. As our insurance products are very homogenous, we can easily scale and internationalize through markets outside of Germany.
How does Covomo improve awareness and make financial planning relevant to younger generations?
By providing tangible insurance. Young people most likely are not thinking about their own pension or becoming unable to work through diseases or accidents. However, they do carry risks of (financial) losses in case they have to spend money on their tablet or MacBook that are destroyed by dropping them or technical failure after the warranty. Covomo provides the solution by automatically fetching purchase information about various goods and triggering the need to insure these valuables plus storing all relevant information like receipts.
Covomo is one of the 10 startups joining InsurTech Hub Munich FIN:SURE Innovation Sprint. Want know more about their distribution solutions? Check out their website.