Building the Framework of the InsurTech Ecosystem Business Model Canvas (IEBMC)

Abstract

The InsurTech ecosystem transcends becoming a collaborative network of interconnected archetypes of startups that create, deliver, and capture value in this dynamic and evolving industry. This paper explores the InsurTech dynamics of InsurTech firms, focusing on how they contribute to forming an ecosystem within the insurance industry. As a result, a significant research gap has been addressed by examining the InsurTech business archetypes and developing the InsurTech Ecosystem Business Model Canvas (IEBMC). For this purpose, multiple qualitative case studies have been employed to analyze the world's 400 most innovative InsurTech firms from 2020 to 2023, ensuring a representative dataset based on a global InsurTech landscape. This methodology provides a comprehensive understanding of the diverse roles and strategies that InsurTech firms adopt encapsulating the multifaceted approaches these firms employ as part of their value propositions within the insurance industry. This research identifies seven fundamental InsurTech archetypes - Innovator, Disruptor, Enabler, Connector, Protector, Integrator, and Transformer - each uniquely building the InsurTech ecosystem. The novel IEBMC framework presents a comprehensive perspective on how value is created, delivered, and captured, representing a scientifically derived framework and offering a structured approach to understanding and navigating the complex business dynamics of the insurance ecosystem. This framework, based on the findings of Osterwalder's doctoral dissertation, employs a design science approach to systematically analyze business models. It concludes by discussing the future of the InsurTech ecosystem and the dynamics of collaboration between these archetypes, emphasizing the risks of interconnectedness in navigating this rapidly evolving industry.