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INSURANCE & INSURTECH · T446 cat-30

Embedded Insurance Pricing Modeller

Model pricing, loss ratios, and unit economics for embedded insurance products distributed through non-insurance platforms (BNPL, e-commerce, mobility, fintech). Calculates gross written premium, expected loss ratio, expense ratio, combined ratio, and breakeven metrics.

🔒Zero PII
📡No server calls
💻Client-side
📋IDD / FCA / ASIC
Embedded Insurance InsurTech Loss Ratio Combined Ratio GWP Modelling IDD FCA FG24/1
🔒 All inputs are processed locally in your browser. No data is transmitted. Do not enter real personal data — use synthetic or anonymised inputs only.
A: Product & Distribution
Average value of insured item or transaction
B: Pricing Parameters
Typical range 1–8% for embedded
% of eligible customers who take cover
Transactions offered insurance per month
Industry avg ~55% for embedded
Typically 15–35% for embedded
Typically 8–20% for embedded
% of GWP ceded to reinsurer: reduces net premium and net loss exposure proportionally
C: Key Metrics
D: Monthly P&L Waterfall
E: Regulatory Considerations
F: Sensitivity Analysis Combined ratio at ±5% LR and ±5% attach rate
About This Tool
Disclaimer Indicative modelling only. Not actuarial pricing advice or legal counsel. Regulatory permissions for embedded insurance vary significantly by jurisdiction and product type: verify with qualified counsel and a licensed underwriter before launch.
Insurance Distribution Directive (EU) 2016/97 Distribution conduct requirements for insurance products sold through intermediaries, ancillary insurance intermediaries, and comparison sites. EU IDD 2016/97
FCA PS20/1: Product Governance (2020) FCA Policy Statement aligning UK with IDD product oversight and governance requirements for insurance distributors. FCA PS20/1
FCA FG24/1: Embedded Insurance Guidance (2024) Specific FCA guidance on platform-distributed insurance products, appointed representative obligations, and Consumer Duty application. FCA FG24/1 (2024)
EIOPA POG Opinion (2022) EIOPA Opinion on supervisory convergence on product oversight and governance, including embedded insurance value-for-money criteria. EIOPA POG Opinion 2022
Geneva Association / InsurTech Insights (2023) Embedded insurance market report with industry loss ratio benchmarks (avg ~55% embedded LR) and attachment rate data by channel. Geneva Association 2023
Benchmarks
Avg embedded LR
~55%
Typical attach rate
5–20%
Platform commission
15–35%
Profitable CR
<100%
Device insurance typically commands higher attach (8–15%) vs. travel (3–8%). BNPL attach rates vary widely: 2–25% depending on product-price fit and checkout prominence.