Currently three initiatives in the pipeline for setting up new insurance companies, including the Passportcard travel insurance agency, and the agents insurance company initiative being set up by Yaakov Alfasi * Barket to his regulatory colleagues: become less regulators and more enablers. First businesses need to be created and afterwards regulation for them
“It looks like we will be approving a new insurance company this week, with another two on the way” – so said Insurance Commissioner Dr. Moshe Bareket at the launch convention for the Finnovation community – the official community for the Fintech and Insurtech sectors in Israel.
Bareket’s remarks caused much excitement in the insurance sector, on the backdrop of the presence in the market of a number of initiatives for new insurance companies. The Passportcard and DavidShield group, owned by Alon Ketzef and global insurance giant Whitemountain, which operate in the area of travel insurance are in the advanced stages of setting up an insurance company. Passportcard refused to comment at this stage.
Another company which is in advanced stages of receiving a license is the agents company being set up by Yaakov Alfasi, as reported by Policy a year ago. The company will be called the Aluma Insurance Company. The setting up process is being accompanies by the Lippa Meir law firm and the E&Y accounting firm. Alfasi is a longstanding entrepreneur in the sector, and owns the BAFI price comparison engine.
It was also reported in the past that former Migdal VP Gil Yaniv has been acting to set up a digital company in the area of life and health insurance.
One way or another, this is a significant decision by Bareket, two new insurance companies having been launched in 2018 – Libra, headed by Etty Elishkov and Wesure, headed by Emil Weinschel.
Fewer regulators, more enablers
The convention which took place with many participants, including the Bank of Israel Banks Inspectorate, the Economics and Industry Ministry, the Securities Authority and others. Barket, speaking to his colleagues, the regulators, said: “be somewhat less regulators and somewhat more enablers. First businesses need to be created and afterwards regulation being set up for them”. He said that insurance companies can be set up without endangering insureds.
Bareket also said that alongside Insuretech and Fintech, the Authority is also seeking to initiate Regtech – regulation technology – such as customer service apps, and technologies that will improve the protection of the public: “We have great entrepreneurs and we regard them as partners”.
Published in Policy – The Israeli insurance, pension and finance newspaper