Spotlight on: Digital health and wellness
Industry attitudes to risk and insurance in Asia, Europe and North America SPOTLIGHT ON DIGITAL HEALTH Contents SPOTLIGHT ON DIGITAL HEALTH
Executive summary Five key takeaways for the insurance industry: 1. There is high optimism with nine in 10 businesses expecting to grow this year 2. There is also a perception among 89% that the level of risk they face is relatively high 3. Over two thirds lack insurance coverage against bodily injury claims as a result of a cyber hack The global pandemic has forced governments • 70% have only one or two of the key around the world to balance looking after insurance coverages they need 4. More support is needed – a third want more education on the risks they the economy with maintaining public health. need covered It has driven significant change in society • On average one third struggle to get the that is likely to outlast this health crisis, right coverage, to understand the risks 5. Simpler is better – 30% of digital health leaders require clearer policy and nowhere more than in healthcare. they face or to understand their insurance language from insurers. policies. Amid heightened health risk and social distancing, consumers have become far more These findings, taken from a global survey The scale of the opportunity for digital health receptive to digital health and wellness offerings, of 376 digital health and wellness practitioners businesses and the insurance industry is while public policy is changing to accommodate conducted on behalf of Beazley, demonstrate unprecedented, and the time to act is now. new modes of healthcare delivery. there are barriers to the sector’s growth. They also suggest the trajectory for the Beazley partners with the digital health and Against this backdrop, every aspect of industry may not be as rapid as stakeholders, wellness industry around the world. By providing digital health and wellness services, including including business leaders, consumers, the risk mitigation and risk transfer needed to telehealth, telemedicine, mHealth, health governments and investors, require. strengthen businesses and facilitate capital software platforms and technology and life raising, we can help the digital health industry to science technology, has grown exponentially But while health and wellness providers mature and deliver solutions that will play a key – fueled by a solid track record of innovation, recognize they need better leadership if they role in enabling future economic growth. a wave of fresh capital, international expansion are to shape their future more effectively, our plans and demand. findings also demonstrate that the insurance industry has a significant job to do. The potential for the digital health and wellness sector at this time is considerable, Specifically, our industry needs to improve yet so are the risks it faces. Among businesses communication, knowledge transfer and in this sector: collaboration in order to deliver more appropriate cover, more effectively, to meet Jennifer Schoenthal • Over two thirds lack insurance coverage for fast-changing customer needs. As insurers Global Product Leader, Virtual Care medical malpractice due to remote care handle more claims and get more familiar with provision, data breach, or cyber hack what can really go wrong for this sector, this resulting in bodily injury experience needs to be used to better inform and support our clients on risk management and risk mitigation needs. SPOTLIGHT ON DIGITAL HEALTH Digital health and wellness
s to ris titude k and • 89% of businesses operate in at in • 90% of businesses plan try sur a moderate to high risk environment us an growth in 2021 d ce • 85% say they are confident they In • 33% are innovating new services know what insurance coverage G and products they need ro k w • 62% are raising capital • But 70% have coverage for just one s i th • 58% are experiencing growth due or two key risks R to COVID-19. • Top 2 risks overall: – Client complaints due to misrepresentation – Cyber attack or system failure. Key research
• 33% of leaders don’t know what findings • Lack of coverage for existential types of risk they need coverage for risks is striking U • 30% struggle to read and n • 68% of businesses have no understand insurance policies d coverage for loss of personal e e c medical data • 36% find it hard to find coverage rs n that is right for their specialist ta ra • 68% have no coverage for system business nd su failure or hack resulting in • 24% want to establish more robust ing In bodily injury risk management and insurance In e • 67% have no coverage for medical du nc frameworks. st ra malpractice due to remote care ry su provision. att d in itudes to risk an SPOTLIGHT ON DIGITAL HEALTH What does the digital health 90% of digital health and wellness companies planning growth and wellness industry need to No plans to expand 9% sustain rapid growth? Grow in existing markets 29% Expand internationally 61%
The global digital health and wellness sector is Not only are more established telehealth Ambition is global at a point of inflection. The public is receptive. organizations much busier, but a proliferation Health systems are keener than ever to harness of mHealth apps, fitness trackers, telehealth In terms of geographic ambitions, our findings the cost and efficiency gains it promises; systems and wearable devices has boosted are very telling. Three-fifths (61%) of digital new and incumbent market players are eager the broader health and wellness sector. health and wellness businesses globally 90% to make the most of the opportunities. expect to expand internationally, and 29% in of digital health and wellness Unsurprisingly, such growth is also drawing domestic markets in 2021. businesses expect to expand in 2021. But fresh capital, new technology and robust in many new players – with engineering risk management are essential if the sector is businesses exploring options for medical Digital health firms in Spain were the most to meet its potential. ventilators,4 distilleries producing hand sanitizer ambitious in terms of geographical expansion, and specialist medical centers repurposing where 79% of favor international growth, Growth expectations are significant as vaccination hubs, for example. followed by Canada (77%) and the UK (70%). Territories that are more focused on Some 90% of digital health and wellness firms No wonder that an industry that in 2019 was domestic markets include the US, where 41% expect to grow this year and 58% say they have estimated to be worth US$106bn was projected plan overseas expansion and Asia (Hong Kong experienced an increase in demand directly to top US$640bn in 2025,5 even before the and Singapore) (40%). due to COVID-19 and its impact on consumer arrival of COVID-19. behaviour, according to our research.
Against this backdrop, the US experienced a 50-175 times increase in the number of telehealth visits1 during 2020 and in the UK only one in 10 patients saw a doctor face to face.2 Visits to Singapore’s MyDoc digital health platform rose more than 160% in the first quarter of 2020 alone.3 SPOTLIGHT ON DIGITAL HEALTH What does the digital health 73% and wellness industry need to of mHealth firms have the strongest sustain rapid growth? Continued global expansion ambitions.
New sub-sectors leading the charge Technology is the enabler
In terms of industry sub-sectors, companies With demand for digital health services off the operating within the comparatively new area of scale, technology is the enabler expected to mHealth (73%) showed the strongest ambitions underpin much of this market growth in 2021. to expand globally, followed by telemedicine (65%) and health technology (59%) businesses. Primary growth drivers in 2021
mHealth and telemedicine subsectors focus on foreign expansion Innovating new products, services or modes of care delivery 33%
mHealth 19% Investing in technology – e.g. more 29% 73% sophisticated AI, robotics
Improving remote working capabilities 23% Telemed 29% 65% Conducting research & development 22% Health-tech 25% 59% Recruiting, retaining and investing in talent 22% Grow in existing markets Expand internationally Educating and expanding customer base 21%
What are your geographic growth plans in the next 12 months? Developing a face-to-face service 19%
Merger or acquisition 15%
What are your priorities for driving growth in the next 12 months? SPOTLIGHT ON DIGITAL HEALTH What does the digital health 33% and wellness industry need to of digital health and wellness business leaders cite innovation of sustain rapid growth? Continued products and services as their top priority for driving growth.
Innovation is key Capital injection is needed Businesses have a range of plans to raise capital One third of businesses cite innovation Almost two thirds (62%) of the companies of products and services as their top priority surveyed plan to raise capital in the next year, Business loan / trade credit 35% for driving growth. Innovation can contribute but regional variations are substantial. In the to making care more efficient, optimizing US, 89% have capital raising on their radar Venture, angel or private equity investment 35% systems, improving patient outcomes, for 2021, compared to 70% of businesses reducing human error, and lowering costs in the UK and only 50% of businesses in Crowd or seed funding 24% through web and mobile interfaces. Europe and Asia. Government grant 22% Technology investments are also seen as a Globally, over one third of businesses plan key growth driver by 29% of respondents. to take out loans, request trade credit or Merger or acquisition 20% approach private equity and other AI-enabled medical devices, and blockchain professional investors. Crowdfunding is also Friends & family 19% electronic health records are just a few on the radar for a quarter of businesses, with concrete examples of digital transformation in mergers and acquisitions (M&A) an option for IPO 14% healthcare that are reshaping how we interact one fifth. Only 14% are considering a full IPO. with health professionals, how personal data is shared among providers and how decisions In terms of the types of business most likely What are the most likely sources of capital for your business? are made about treatment plans and health to be raising cash – the research points clearly outcomes. to established businesses that have been trading for at least three years within more established industry segments – particularly life science technology businesses. SPOTLIGHT ON DIGITAL HEALTH
Businesses that need to What does the digital health raise cash to fund future growth plans will need and wellness industry need to to demonstrate they are well protected against a complex range of sustain rapid growth? Continued insurable risks.
Risk transfer is essential Risks are interconnected
The digital health and wellness industry meets However, as competition for investment many criteria that make it ripe for investment.6 intensifies, businesses that need to raise Product Liability & Tech Errors & It has grown extensively in recent years cash to fund future growth plans will need to Professional Indemnity Omissions and outside investment has increased. demonstrate they are well protected against a Consequently, there has been a notable complex range of insurable risks that includes: increase in venture capital firms, private equity houses and other investors targeting the • medical malpractice digital health space.7 • regulatory risk • products liability Companies with reasonable histories • cyber and data protection of financial performance, scalability and • technology errors and omissions (E&O) sustainability generally present the most • media liability attractive opportunities for investors, • bodily injury. particularly as countries around the world look to reconfigure their health systems to include a higher proportion of digital health and wellness provision.
General & Cyber Liability & Products Liability Breach Response SPOTLIGHT ON DIGITAL HEALTH What risks could derail 31% digital health and wellness of established businesses rank cyber sector growth? Continued their top concern.
Our research shows that the perception of Larger businesses worry more about cyber risk is running high in the digital health and Businesses worry about a wide range of risks particular to this sector wellness sector. Beyond the headline findings, there are some Inappropriate patient 2% interesting nuances in the business risks that Fully 89% of respondents feel they are operating contact or relationship keep different executives awake at night. in a moderate to high-risk environment. Product malfunction or inappropriate use of They are concerned about both insurable product resulting in physical harm to a patients 4% • Established businesses trading for over three and uninsurable risks, those that affect the years are substantially more concerned sector as a whole and risks that are particular Incorrect interpretation and about the threat of cyber attacks or system diagnosis of data by a practitioner 17% to their types of business. failures with 31% rating cyber as their number Practitioner providing care to client one risk compared with only 25% of start-up located outside of the jurisdiction they 22% Client complaints are the top digital are licensed to practice in businesses. health and wellness industry risk Operating as an always-on business 22% • The top concern within life science technology In an industry based on digital offerings, it is businesses – the most established of the telling that the sector risk that most concerns Failure to intervene, diagnose or treat due to digital health sub-sectors – is inadequate executives is that online advertising unfairly technology or data shortcomings 23% client care due to human error, cited by 29% misrepresents the service they are offering of business leaders. or the competence of their practitioners. Inadequate care for a client due to human error, treatment, advice or exercise 27% • Well over a third (39%) of telemedicine, telehealth and health technology businesses Cyber-attack or system failure 27% were most concerned about media liability risk. Client complaint that treatment, advice or exercise was not as advertised, or professional 34% • Because the industry is not yet mature, the qualifications, competence or experience was unfairly represented pattern of insurance claims in the digital health space is still emerging.
Which risks concern you most from an industry sector perspective? Read more here about the types of claim Beazley handles SPOTLIGHT ON DIGITAL HEALTH What risks could derail 39% digital health and wellness of businesses in the telemedicine, telehealth and health technology sector growth? Continued sub-sectors rank media liability as their top concern.
Individual company risks cover a Different regions, different risk focus broad range Supply chain and manufacturing instability are top company risks It is important to note, however, that there were At the individual company level, business Supply chain and manufacturing instability 24% significant regional variations in the business leaders are highly concerned about the stability risk rankings. of their company’s manufacturing operations Ability to recruit, retain and 23% and the reliability of their supply chain. Even in check credentials of practitioners • Canada is the territory most concerned by a digital world, sub-sectors including life science Economic uncertainty 23% the risk of manufacturing and supply chain technology, medical technology platforms instability with 36% of business leaders and mHealth wearable devices have a Meeting regulatory requirements 22% identifying this as their top concern. fundamental reliance on technology and on physical production chains. • In the US, businesses were more concerned Meeting a minimum financial performance 20% about economic uncertainty and (in a more litigious society) the ability to recruit and 18% Coping with pace of growth check the credentials of practitioners. These risks were ranked joint highest by 28% Inability to secure investment 18% of business leaders.
Billing errors for contract business 5% 16% • In the UK, the top concern of businesses by a substantial margin is compliance with Competition 15% regulatory requirements, selected by over a third (34%) of business leaders. Brexit compliance / changes as a result of Brexit 5% These concerns suggest business leaders are alive to the threat that a shifting regulatory Which risks concern you most from your individual business perspective? landscape can create significant risks. As we move beyond the current crisis, credentialing and regulatory requirements may drive significant exposures as the industry grows. SPOTLIGHT ON DIGITAL HEALTH What risks could derail digital health and wellness sector growth? Continued
Businesses worry about time and cost Significant sub-sector variations to remediate risk Top concerns regarding consequences of risk There were significant variations in responses Time and cost to investigate Executives worry about the time and expense 32% between sub-sectors. involved in managing industry and business and remediate risks risks. They are also concerned by regulatory Brand / reputational damage 28% • One consequence of risk cited by a action and fines that in turn run the risk of third of respondents was brand or causing brand or reputational damage. reputational damage followed by the Regulatory action & associated fines 27% associated risk of regulatory action, fines and disruption to operations (all 29%). Disruption to operations 24% • The mHealth sector seems substantially Loss of income 23% less concerned about the cost involved Legal action from customers with informing customers of a data breach. 29% 23% of life science technology businesses or affected parties Just 16% of mHealth leaders rank this as their top concern - lower than in every rank inadequate client care due to Costs to inform customers of a breach 23% other sub-sector. human error as their top concern. Claims picture is evolving Which consequences of risk are you most concerned about? Fundamentally, we are yet to see the claims outcome of the pandemic on the digital health sector. Many courts remain closed or are operating on a reduced basis and a deep stock of goodwill towards the medical profession in light of its response to COVID-19 may have delayed potential claims.
Find out more here about claims SPOTLIGHT ON DIGITAL HEALTH Do digital health and wellness 70% businesses lack essential of businesses have coverage for only insurance cover? one or two key risks.
The vast majority (85%) of digital health and Across the digital health and wellness industry, wellness businesses say they know what Two thirds of digital health businesses lack cover for existential risks over 66% of businesses lack cover for insurance cover they need – particularly larger existential risks including: businesses with global operations. Not covered • Loss of personal medical data. Confidence levels are high 67% 68% 68% • System failure or cyber hack resulting in 63% 64% 65% • Longer established businesses with higher 60% bodily injury. revenue report the greatest levels of • Medical malpractice due to the provision of confidence in understanding their business remote care. insurance needs. • Companies in the life science and health Over 60% of businesses also lack cover for: technology sub-sectors are also notably confident (92%). • Medical malpractice due to incorrect data. • Businesses in the UK and US display • Technology error resulting in bodily injury or System Technology Technology Malpractice Malpractice System Loss or financial loss. strikingly high confidence levels (99% and failure or error or error or due to due to failure or disclosure of 100% confident, respectively). cyber hack omission omission incorrect remote or cyber hack personal or • System failure or cyber hack resulting in resulting resulting resulting data, technology resulting sensitive data However, businesses in Asia report lower in financial in financial in bodily resulting in based in bodily financial damage. loss loss injury to a bodily nature injury to a confidence levels with only two thirds (67%) client injury or of care, client very or moderately confident – and a third property resulting Although only 2% of businesses have none of (32%) not very confident. damage in bodily these coverages, 70% of respondents have injury or property only one or two of their key risks covered. Lack of essential cover is striking damage Despite these high levels of confidence, We will explore the issue of underinsurance underinsurance in critical areas is Which risks are you insured against? further in discussions with specialist brokers worryingly high. and our digital health clients. SPOTLIGHT ON DIGITAL HEALTH Do digital health and wellness 85% businesses lack essential of digital health and wellness business leaders say they are insurance cover? Continued confident they know what insurance cover they need.
Why is insurance penetration so low? • Laboratory risk is well established and was Risk picture is complex a standard cover but recently the focus What does the future hold? has shifted to COVID-19 testing and the Although industry leaders feel they understand In our experience, very few digital health Looking ahead, ongoing pressure to the risks they face and the insurance coverage manufacturing and distribution of home businesses have a 360° view of the risks they they need, one of the reasons that insurance testing kits, creating a more complex risk face. The new and unique combination of risks innovate to achieve profitable growth penetration is so low is the sheer complexity environment. within digital health creates a complex web of is going to push the insurance ‘ask’ of risk in this industry. interconnected exposures that can be hard to even harder. The creation of new • Motor manufacturers in the US and get to grips with for brokers and insurers new digital health products and services, Risk profiles are changing engineering firms in the UK, including to the digital health landscape. the adoption of new models 8 Dyson , adapted their production processes including more remote working, to make ventilators to treat COVID-19 Risks are evolving and the pace of change The variety of organizations in this sector and investment in technology and has been accelerated by the pandemic. patients. Others are supplying oxygen heightens this complexity. Healthcare and For example: monitoring kits for patient use at home. lifestyle professionals are well-versed in AI are all strategies identified by Developments like these challenge insurers medical malpractice, bodily injury and digital health businesses to sustain • Telehealth clients that previously covered to think hard about the nature and the professional liability exposures. However, growth in 2021. Such developments, the bulk of their risk under a product liability quality of the risk. What is the life expectancy many are unaware of the risks that arise when while essential to the future of the policy form have expanded their online of the business? Is it a sustainable risk? they move their business online, such as data digital health industry, will add presence because they are now providing What limits do they want? privacy and protection, cyber risk, technology further pressure on the insurance more advice, exposing themselves to product liability and media liability risks. industry to adapt and evolve professional liability risks. On the other hand, technology businesses new covers. • Disease testing and monitoring via track and typically understand cyber and data breach trace or similar systems is now widespread liabilities and product liability, but may not be and attracting the attention of hackers. aware of the bodily injury, medical malpractice, This puts stress on service providers’ data or the professional liability risks they may face privacy policies and technology product if the technology fails or malfunctions. liability policies.
SPOTLIGHT ON DIGITAL HEALTH Why is insurance a difficult conversation for digital health and wellness leaders?
Globally, digital health and wellness is a new, economically and socially significant industry, Over a third (36%) of digital health Hardest things about obtaining insurance led by people from diverse backgrounds – business leaders globally struggle to medical, healthcare management, technology, find insurance that is right for their Finding insurance that is right for our specialist business 36% lifestyle, wellness and financial. Some are young specialist business. entrepreneurs, others are seasoned health or Knowing what types of risk need to be covered for 33% technology veterans. One third have difficulty knowing what types of risk they need to be Reading and understanding Read more about the evolution of this sector the insurance policies 30% in this recent interview covered for. Knowing the values (insurance limits) that need to be insured for 29% This melting pot of people and experience is Perhaps most challenging of all essential if the industry is to create the for insurance leaders, 30% of Knowing that our claims will be paid 24% innovative virtual care solutions that are vitally digital health executives think the important, both in countries where it is harder hardest thing about buying insurance Comparing quotes from different insurers 23% for aging populations with chronic disease to is reading and understanding see practitioners face to face; or in territories where a combination of difficult terrain, low the policies. incomes and inadequate public healthcare What are the hardest things about obtaining business insurance? systems complicate the provision of affordable, accessible care.
But given the variety in the skills and backgrounds of industry leaders, and the diversity of businesses within the sector, it is perhaps unsurprising that there is also huge variation in terms of how business leaders understand and buy insurance. SPOTLIGHT ON DIGITAL HEALTH Why is insurance a difficult conversation for digital health and wellness leaders? Continued
Regional variations are striking Canada also produces an unusual finding. Uniquely among the territories we surveyed, Countries face different issues buying insurance In Asia (Hong Kong and Singapore), over a knowing the values (insurance limits) they third (35%) of digital health executives struggle needed to be insured for was the top concern, Comparing quotes 24%27% 23% 19% 25% to understand insurance policies and 33% cited by 40% of respondents – despite this from different insurers worry about finding appropriate cover. In Spain, group of leaders having operated in the sector likewise, concerns center on finding the for longer than those in any other territory we right insurance (36%) and reading and surveyed. Knowing that our claims will be paid 26% 31%19% 27%19% understanding policies (33%).
Knowing the values (insurance By contrast, in markets where specialist 28% 33% 15% 40% 29% insurance cover has a longer history, very few limits) that need to be insured for UK and US digital health leaders report difficulty reading and understanding insurance policies. Reading and understanding 24%19% 35% 39% 33% Instead, their top concern is knowing the types the insurance policies of risk they need to be covered for, cited by 43% in the UK and 40% in the US. This is likely to Knowing what types of risk 43% 40% 19%31% 32% be a particular concern for businesses that are need to be covered for expanding fast into new geographic territories or new areas of business. Finding insurance that is right for our specialist business 41% 36% 33% 36% 36% US business leaders are also particularly worried over whether claims will be paid. UK US Asia Canada Spain Almost one third (31%) cite this concern, seven percentage points higher than the global average. What are the hardest things about obtaining business insurance? SPOTLIGHT ON DIGITAL HEALTH
Why is insurance a difficult One size does not fit all It is not possible to provide cover for any business ‘for every situation’. But it certainly is possible to design policies for different types of businesses and to ensure that conversation for digital health policy documentation and wordings are easier to understand.
We have produced a video that helps address some of these concerns: and wellness leaders? Continued Watch the video here
Pressures are unique Wide-reaching coverage is most valued Businesses want cover for every situation These findings suggest that industry leaders Globally, being covered for every situation is face a unique set of pressures. They are the most important factor guiding insurance Being covered for every situation 22% at the forefront of product, service and purchasing, rather than any desire for long term technology innovation, grappling with the partnership or support. Factors like insurer Ease of understanding the coverage offered 21% challenge of managing and mitigating emerging reputation, financial stability and even meeting risks; but also operating in a highly regulated regulatory requirements are considered Cost of insurance 21% space where regulations can vary both at the comparatively less important. Conversely state and the country level. Compounding the of course, developing those long-term Fast, reliable claims service 20% issue, in some instances, government insurer-client relationships might help in requirements can be very rigid. terms of improving risk management insight, A policy designed for our type of business innovating better tailored coverages and 19% This may explain the higher levels of concern delivering enhanced support as the in some territories and particularly among business grows. Insurer's reputation 17% established (larger) players in finding insurance that is right for their business, cited by 45% Meeting regulatory requirements 17% of respondents. Insurer's financial stability 17%
Meeting contractual requirements 17%
A long term insurer partnership 12%
Which factors are most important when choosing your business insurance? SPOTLIGHT ON DIGITAL HEALTH Why is insurance so important 27% 25% for digital health and wellness want greater public-private patient want more government intervention. record sharing and a more workable businesses? regulatory regime.
Previously, many governments were less But as the industry moves progressively center Digital health leaders need to step up Over two thirds (68%) globally lament the lack certain about the relative costs and benefits of stage as part of public healthcare provision, of an industry leader or influential organization supporting telehealth on a broad scale as part so expectations of digital health and wellness As countries everywhere move from emergency in this sector and a quarter (25%) believe a of their public health emergency response. providers will increase. As US states look to disaster response to long-term restructuring stronger voice is needed to help drive industry But the benefits of digital health platforms improve access to care, for example, they are of healthcare provision, it is inevitable that development. Other interventions, however, became overwhelmingly clear when the also seeking to incentivize greater provider questions around risk and safety will come including broader patient record sharing, pandemic struck, and governments rapidly accountability for outcomes.12 increasingly to the fore. Our research shows will require careful consideration, ideally in made digital health platforms available to the that digital health and wellness providers are conjunction with insurance partners if they general public as a tool to help contain the considering moves to help themselves. are not inadvertently to increase risk. spread of the virus. Connecting more effectively • Australia extended Medicare coverage for Interventions most likely to help manage risk telehealth, South Korea eased restrictions The findings of our research demonstrate that on telehealth to treat COVID-19 patients Patient record sharing with public and the insurance industry has significant work to 27% remotely, and Japan launched a free do in order to support the digital health and private health systems government-backed remote health service wellness industry more effectively. We need to 9 A more workable/appropriate regulatory regime 27% using digital health tools. think harder about communication, knowledge A stronger industry voice to help drive transfer and industry collaboration. In particular, 25% • In the US, many states relaxed regulations there is a need for brokers to focus more closely industry development surrounding the types of providers that may on the risks facing these clients – which don’t Greater government intervention & support 25% be reimbursed, services that are covered naturally fit into traditional insurance silos – and distant and originating sites that are if the insurance industry is going to better 10 Better tie ups between academia and industry 25% permitted. support this burgeoning sector. • In the UK, NHS doctor consultations moved A robust risk management and insurance framework 24% online and in 2021 the government is seeking views on whether to make the choice More support for science in schools and university 23% of telehealth permanently available.11 What interventions are most likely to help you manage the risks facing your business? SPOTLIGHT ON DIGITAL HEALTH
Industry attitudes to risk For more information UK and insurance in Asia, Europe US Europe and North America Asia
Next steps for brokers and insurers to better support the digital health & wellness sector References
• Work better together to design and deliver more bespoke coverages that meet the particular requirements of these businesses 1 McKinsey report 2 The Times • Help business leaders to understand the risks they need to be covered by improving engagement, education and 3 Bain & Company information-sharing 4 BBC News 5 Global Market Insights • Make our policy language easier to understand, especially in countries or markets where specialty insurance coverages 6 Law 360 are less common 7 PitchBook 8 BBC News • Collaborate more effectively with clients to establish robust risk management and insurance frameworks 9 Bain & Company 10 Centers for Disease Control & Prevention • As we handle more digital health and wellness-related claims, use the data and experience we gain to inform clients’ 11 The BMJ and our own understanding of the risks. 12 National Governors Association
Methodology This report is based on a survey of 376 business leaders in the digital health and wellness sector in the US, Canada, the UK, Spain, Singapore and Hong Kong. Research was conducted in December 2020 by Opinion Matters on behalf of Beazley. Industry subsectors include: health and wellness software and platform providers; health-technology and life science technology companies, mHealth and telehealth and telemedicine providers.
The descriptions contained in this communication are for preliminary informational purposes only. Coverages can be underwritten by Beazley syndicates at Lloyd’s or Beazley Insurance dac or Lloyd’s Insurance Company (“Lloyd’s Brussels”) and will vary depending on individual country law requirements and may be unavailable in some countries. Coverages are available in the US only on a surplus lines basis through licensed surplus lines brokers The exact coverage afforded by the products described in this communication are subject to and governed by the terms and conditions of each policy issued. The publication and delivery of the information contained herein is not intended as a solicitation for the purchase of insurance on any US risk. For more information, visit www.beazley.com © 2021 Beazley Group