Tech innovation hub 1871 wants to find the next groundbreaking product or service in insurtech.
The nonprofit Chicago accelerator announced the debut of its newest program this week, InsurTech Innovation Lab, which is set to launch in October.
Applications will be open until September 8.
The InsurTech Innovation Lab will be 1871's first foray into the insurtech space as it hopes to bring together some of the major players across the insurance landscape, a sector 1871 officials think is poised for major transformation and innovation.
To remain competitive and address some of the industry challenges they now face — such as regulatory changes and the increasing complexity of insurance products — insurance brokers and agents are adopting digital tools and new technologies more openly, PitchBook analysts wrote in a Q1 2023 report on the global insurtech sector. While deal value took a slight dip for the space in the first quarter, the emerging technology continues to help brokers and agents better connect with clients to provide quotes, manage policies and handle claims.
Chicago-based Obie, an insurance platform for landlords, raised one of the bigger funding rounds of recent months in May, securing $25.5 million in Series B funding at a $130 million valuation.
Kin Insurance, a direct-to-consumer home-insurance business that was founded in 2016, finalized a $109 million Series D round earlier this year, one of the few triple-digit funding rounds that Chicago startups have been able to land in a down venture-capital market.
Innovation Lab focal points
Innovation Lab is a tech program designed to bring early-stage startups together with growth companies, corporations and VC firms with the goal of solving some of an industry's challenges with technology.
1871 has previously launched Innovation Labs focused on cannabis, artificial intelligence, supply chain and foodtech.
The four-month insurtech program will run from October 9 to January 18 and will focus on subrogation, litigation, fraud, back-office productivity and preparing for volatility.
Growth-stage startups with technology or product offerings in the Insurtech space and late-stage startups looking to elevate their brand are encouraged to apply.
Corporations that are looking to grow through partnerships are also welcome.
