Insurtech UK has published its Roadmap of recommendations for policy-makers to retain and strengthen the UK’s leading global status in insurance innovation.
The plan, which was released at the end of June, outlines how the next government can create a supportive environment for UK InsurTech to flourish, according to FF News.
Key recommendations include establishing a regulatory regime that enables more new entrants, creating an investment environment that facilitates funding, and taking action to unlock opportunities for scaling up.
With the UK’s InsurTech credentials firmly established on the world stage, now is the time to support these innovative firms further as they strive to internationalise.
Accessing higher levels of overseas investment and entering new markets will accelerate the next stage of UK InsurTech’s exciting global journey.
The UK is already home to the world’s second largest InsurTech cluster, with an estimated combined value of more than $20bn. This burgeoning industry supports 60,000 jobs across the country and contributes nearly £5bn to the UK economy.
On the finance front, the Roadmap suggests extending SEIS and EIS to all categories of InsurTech to incentivise investment and extending EMI qualifying criteria to attract experienced talent.
It also calls for a re-extension of the long-stop date for Advance Subscription Agreements and an urgent review of the HMRC R&D credit scheme for clarity and confidence in scheme application and administration.
To tackle barriers and drive growth, the Roadmap recommends introducing a fairer VAT/IPT regime for InsurTechs and a three-year strategy from the Department for Business and Trade for the international promotion of UK insurtech.
It also suggests new government-backed reinsurance schemes to enable coverage of new societal risks and support affordable insurance policies for greater financial inclusion.
This comprehensive set of recommendations aims to pave the way for UK InsurTech to reach its full potential, ensuring the country remains a global leader in insurance innovation.
Copyright © 2024 InsurTech Analyst
