Given the development of technology, fintechs will be important partners for InsurTech startups. They will be able to integrate the necessary payment functions into their projects. In addition, fintech companies have large amounts of data that are of interest to insurers. Thus, the partnership of these two areas is a win-win-win strategy where everyone benefits: FinTech companies, insurers and users of their services.
Authentication and security
An important trend in 2021 is the rapid growth and development of such areas as open banking, neobanks, digital services and simplified verification (authentication). B2B2C (Business-to-Business-to-Consumer) startups. They are aimed at increasing the level of security of online transactions (for example, tokenization) will be of high interest. In addition, businesses are interested in ways to improve processes.
A feature of this segment is that even if some solution is already on the market. But it does not work perfectly or is inconvenient. You can safely offer a more convenient one that allows you to provide services to the end user seamlessly.
Smart technologies are increasingly penetrating our lives. Pay with a ring, bracelet or watch will surprise few people. But here, too, payment technologies have not reached the limit of their development. Great efforts are being made to simplify biometric identification. The Canadian bank TD Bank, together with IT-company Nymi, tested a bracelet with a contactless payment function back in 2015, which identifies the user by heart rate. The trick is that if any other person, except its owner, tried to pay with this bracelet. Then nothing would come of it. More and more similar projects and technologies appear every day in fintech technology industry trends.
Revolution and evolution: what’s happening in fintech and online lending
It is already clear that a payment card in the form of a piece of plastic has relatively short life left. In the medium term, it will become as rare as paper checkbooks are now. Today it is possible to create a payment service using a code (barcode or QR), messenger or, for example, biometric solutions.
In practical terms for business, this means that a large number of technologies will soon appear for receiving money without POS terminals and physical PPOs.
Integration of fintech with smart home systems has a separate impressive potential. For example, smart speakers, which are often the control center of a smart home, will be equipped with payment functions. Such a column, receiving data from the meters, will be able to independently pay for utilities. Or another example: the column received data from the air conditioner that its filters were clogged. The column will be able to independently call a specialist who will replace these filters and pay for his work.
The use of fintech by Alty.co in this area is limited only by the imagination of the developers. And those startups that enter the niche and offer convenient solutions will obviously be able to take off very quickly.
To sum up
Projects that solve the routine tasks of entrepreneurs will be in demand. Very interesting is the segment of small and micro-businesses. Their representatives often cannot afford to employ an accountant and a lawyer.
The coming years can be safely described as the era of fintech. IT solutions, startups, businesses in this direction will grow like mushrooms after rain, which we are already seeing in its infancy. However, only those who offer the best combination of price and quality and will do it on time will survive in such a competitive market. I recommend that you greatly simplify your task by using ready-made fintech ecosystems as an “engine” for creating services.