OEMs & Auto Insurance
Honda Launches Insurance Business
The vehicle manufacturer announced the initiative Thursday, marking its entry into the insurance market through a partnership with omnichannel insurance brokerage VIU by HUB.
Honda Insurance Solutions operates in all 50 states and the District of Columbia and provides comparative quotes from top insurance carriers through its website.
According to the announcement, auto insurance will be available with optional original equipment manufacturer parts coverage using Honda and Acura genuine parts for repairs.
“Honda Insurance Solutions offers customers access to coverage through a brand they know and trust,” said Petar Vucurevic, president of American Honda Insurance Solutions and senior vice president of American Honda Finance Corporation. “Insurance is a key touchpoint in the vehicle ownership journey, and we aim to deliver a superior experience tailored to the unique needs of each customer, while promoting safer driving and increased peace of mind on the road.”
The insurance agency represents Honda’s broader strategy to integrate insurance offerings into its digital vehicle sales platforms. The company plans to develop additional products focused on safety and convenience.
“This is just the beginning of our vision for Honda Insurance Solutions that will see insurance integrated throughout the Acura and Honda digital customer journeys,” Vucurevic said.
News
White House Unveils America's AI Action Plan – The White House
The White House today released “Winning the AI Race: America’s AI Action Plan”in accordance with President Trump’s January executive order on Removing Barriers to American Leadership in AI. Winning the AI race will usher in a new golden age of human flourishing, economic competitiveness, and national security for the American people.
The Plan identifies over 90 Federal policy actions across three pillars – Accelerating Innovation, Building American AI Infrastructure, and Leading in International Diplomacy and Security – that the Trump Administration will take in the coming weeks and months. Key policies in the AI Action Plan include:
- Exporting American AI: The Commerce and State Departments will partner with industry to deliver secure, full-stack AI export packages – including hardware, models, software, applications, and standards – to America’s friends and allies around the world.
- Promoting Rapid Buildout of Data Centers: Expediting and modernizing permits for data centers and semiconductor fabs, as well as creating new national initiatives to increase high-demand occupations like electricians and HVAC technicians.
- Enabling Innovation and Adoption: Removing onerous Federal regulations that hinder AI development and deployment, and seek private sector input on rules to remove.
- Upholding Free Speech in Frontier Models: Updating Federal procurement guidelines to ensure that the government only contracts with frontier large language model developers who ensure that their systems are objective and free from top-down ideological bias.
AI in Insurance
The future of AI for the insurance industry | McKinsey
Only a few insurers have extracted outsize value from AI to gain a competitive edge. Joining their ranks requires a strategic, comprehensive approach that rewires the enterprise.
Once in a great while, a technological innovation comes along that changes the world, and businesses have to adjust—or potentially decline into irrelevance. The Industrial Revolution’s steam engine and the mechanization of production allowed for a shift from largely agrarian to urban lifestyles. The birth of the internet brought us enhanced real-time communication, e-commerce, cloud computing, and more.
Now, it’s AI’s turn. This powerful technology is rapidly transforming workflows, driving innovation, and reshaping industries. As with other transformative changes brought by technology, it will be hard if not impossible for companies, including insurers, to ignore AI. About two decades ago, as e-commerce became ubiquitous and more sophisticated, consumers got used to seamless ordering and fast delivery and came to expect those capabilities from all merchants. Similarly, AI has changed consumer expectations to the point that customers now expect higher accuracy and reliability during the consumer journey, human-like conversations with AI bots (whether text- or voice-based), hyperpersonalized offers and communication, and on-demand products and interactions tailored to their needs.
Nick Milinkovich is a partner in McKinsey’s Toronto office, Sid Kamath is a partner in the London office, Tanguy Catlin is a senior partner in the Boston office, Violet Chung is a senior partner in the Hong Kong office, Pranav Jain is an associate partner in the Singapore office, and Ramzi Elias is a senior asset leader in the Munich office.
Commentary/Opinion
Insurance claims from LA fires could ‘fully exhaust’ $21bn state fund
Insurance claims from the Eaton wildfire could “fully exhaust” a state fund that was set up to protect customers when a wildfire is caused by a utility company.
The devastating wildfire in Los Angeles killed 17 people and destroyed more than 9,000 structures in January. One leading theory is that ageing equipment belonging to Southern California Edison, the primary electricity provider in the region, ignited the fire.
If the utility company is found to have been responsible for igniting the devastating January blaze, then the “financial health of the fund could be strained”, according to documents published by California’s Catastrophe Response Council, a group of lawmakers and members of the public who oversee the state’s wildfire fund.
California lawmakers established the state’s $21bn wildfire fund in 2019 in an effort to prevent the state’s largest utility companies from declaring bankruptcy if their equipment caused a fire. The fund is made up of money the utility companies contribute and a surcharge on customers’ utility bills.
Lessons for Insurers From the LA Fires | Insurance Thought Leadership
The 2025 Los Angeles County wildfires were among the worst natural disasters in American history. California isn't a stranger to these events. However, even the nation's richest state couldn't prepare for the scale of devastation caused by the Palisades, Eaton, and Hughes fires that erupted in roughly two weeks, engulfing tens of thousands of acres in flames and displacing thousands of families.
Although these devastating blazes reached 100% containment over three weeks after they began, they've made headlines again midyear. USAA, AAA, and State Farm policyholders have sued their insurers for alleged underinsurance, igniting a firestorm of controversy.
POLICYHOLDERS WALK ON HOT COALS
According to an estimate from the Los Angeles County Economic Development, these wildfires caused between $28 billion and $53.8 billion of property damage. The Palisades and Eaton fires accounted for most of the destruction. These incidents collectively incinerated 11,665 multifamily buildings, single-family residences, and motor and mobile homes, razing neighborhoods of multimillion-dollar properties to the ground.
Jack Shaw serves as the editor of Modded
Predict & Prevent
Triple-I/Whisker Labs: Study Shows Ting IoT Fire Safety Solution Reduces Annual Fire Damage Claims by $81 Per Home
A new study conducted by the Insurance Information Institute (Triple-I) and Whisker Labs, with support provided by Octagram Analytics, has found IoT-based fire prevention technology reduced a broad category of non-catastrophic fire claims by an estimated 63% within three years after installation.
The analysis, which represents the first comprehensive quantitative analysis of home IoT claims reduction efficacy, found that Ting – a home fire prevention solution created by Whisker Labs – resulted in 0.39 fewer fire claims per 1,000 home years of experience. This translates into a fire claim reduction benefit of $81 per customer per year by the third year.
“As property/casualty insurers increasingly focus on predicting and preventing costly damage that drives up claims and premiums, this study provides concrete evidence of the value that telematics technology can deliver,” said Patrick Schmid, chief insurance officer at Triple-I. “While IoT solutions are gaining traction with many success stories, rigorous analysis of claims reduction has been harder to find until now. This analysis clearly shows Ting reduces claims and provides a positive return on investment for insurers.”
Research
Rates flat in US, down globally: Marsh - Business Insurance
Average commercial insurance rates fell 4% globally in the second quarter but were flat in the United States, Marsh LLC said Thursday.
Casualty rates continued to increase, while property, financial and professional lines and cyber liability fell because of ongoing insurer competition, the broker said in its latest global insurance market index.
Globally, property rates fell 7% and financial and professional lines fell 4%, while casualty rates increased 4%, led by a 9% jump in the U.S.
Excluding workers compensation, casualty rates increased 12% in the U.S., Marsh said.
Auto liability rates continued to be affected by large jury verdicts and escalating damage repair costs. General liability rates were flat, but umbrella/excess liability rates jumped 18% in the quarter, compared with 16% in the first quarter.
Limits often were reduced, with minimal new capacity, adding to the impact of last year’s closure of several London-based excess insurers, Marsh said.
Financial Results
Mapfre Reports Q1 Net Profit of 570 mln Euros, Up 23.6% YoY
Mapfre's H1 net profit rose 23.6% YoY to 570 mln euros. The company's financial results are available to members only.
Mapfre SA (MAP) reported a significant increase in its H1 net profit for 2025, rising by 23.6% year-over-year (YoY) to 570 million euros. The Spanish insurance giant's financial results for the first half of the year reflect a strong performance driven by robust operational activity and strategic planning.
The company's H1 premiums reached 15.95 billion euros, showcasing a stable and growing revenue stream. The combined ratio, a key indicator of an insurer's profitability, stood at 93.1% at the end of June. This ratio measures the proportion of claims and expenses relative to premiums, and a higher combined ratio typically indicates better profitability.
Aon’s quarterly profit rises - Business Insurance
Insurance brokerage firm Aon reported a higher second-quarter profit on Friday, boosted by strong demand for its risk management and health solutions.
Despite persistent recession fears and stubborn inflation, spending on insurance has remained resilient. Both businesses and individuals are prioritizing risk mitigation over discretionary expenses, fueling revenue for brokers like Aon, whose commissions are tied to premium levels.
Adjusted net income attributable to Aon’s shareholders rose to $759 million, or $3.49 per share, for the quarter ended June 30, up from $624 million, or $2.93 per share, a year earlier.
Analysts on average had expected a profit of $3.40 per share, according to data compiled by LSEG.
Revenue from Aon’s commercial risk solutions unit jumped 8% to $2.18 billion.
The company also posted double-digit revenue growth in both its health and wealth solutions units.
Peer Marsh McLennanalso posted a strong quarterly profit last week, pointing to steady industry-wide demand.
Despite Aon’s earnings beat, its shares have dipped slightly this year, lagging behind peer Brown & Brown, which is scheduled to report quarterly results on Monday.
InsurTech/M&A/Finance💰/Collaboration
Collision Industry Leaders Unite to Drive Automotive Services M&A – Focus Advisors Automotive
Focus Advisors and Veritas Advisors are pleased to announce a strategic merger of the most successful, seasoned, and respected M&A firms in the automotive collision repair industry.
Focus CEO David Roberts and Veritas Founder John Walcher, together with their teams, bring more than 70 years of experience founding, growing, funding, and advising automotive aftermarket companies. With unmatched experience, reputation and market intelligence, the combined firm delivers a new dimension of expertise and capacity to better serve automotive service companies seeking to grow and sell.
The combination expands Focus Advisors’ capabilities across three important value dimensions:
- Enhanced Capital Solutions: Broader and deeper experience serving clients with recapitalizations, debt and equity growth capital, and complex exit advice.
- Strategic Value Creation: A dedicated growth program leveraging an extensive operator network, financial expertise, real estate experience, and market intelligence to create clear strategies that maximize eventual exit outcomes.
- Expanded Market Reach: Extension of Focus’ proven methodologies and transaction capabilities into adjacent aftermarket sectors including auto mechanical service and heavy-duty collision.
As Executive Vice President, Managing Director and equity holder, Walcher will join CEO David Roberts and President Chris Lane on the Focus Advisors senior management team.
Roberts established Focus Advisors in 2003, after serving as Co-Founder and Chairman of Caliber Collision Centers. Lane has more than 10 years of automotive M&A experience, preceded by a successful career in business management and consulting. Walcher founded Veritas Advisors in 2009, after holding senior M&A positions at Caliber Collision and two Fortune 500© companies. Combined, the team has advised on over 120 automotive services deals—including acquisitions, capital raises, joint ventures, and divestitures involving small MSOs to some of the largest operators in the industry.
“We’re not just facilitating transactions—we’re helping clients anticipate and successfully adapt to the future of both the collision repair industry and the entire automotive aftermarket,” said David Roberts. “With this merger, we’re expanding our ability to serve more and larger clients with unparalleled insight, reach, and value creation.”
A Claim Paid in 2 Minutes? It's Possible with PumpkinNow™
Pumpkin is now one of the fastest-paying pet insurance providers in the U.S., thanks to an innovative payment solution called PumpkinNow™. The new urgent pay service is built to fast-track pet insurance claims during critical and emergency situations, when pets need costly treatment without delay.1 When care can't wait, PumpkinNow works fast — paying pet parents for eligible expenses in just minutes. The fastest claim paid out to date? Two minutes.
What sets PumpkinNow apart? Pet insurance customers no longer have to pay for expensive procedures up front and wait days or weeks to get reimbursed. With PumpkinNow, they can submit a claim online and receive real-time payment for up to 90% of the eligible vet bill — before they even leave the vet or emergency clinic.
Lightning-Fast Results from PumpkinNow
Since launching in April 2025, PumpkinNow has delivered impressive results.2
- ⏱ 2 Minutes: Fastest claim paid out to a Pumpkin customer so far
- 📱 $8,054: Highest claim paid out to a Pumpkin customer so far
- ⏳ 8.5 Minutes: Average claim completion time, surpassing the 15-minute goal
- 💸 $4.6 Million+: Total critical care expenses covered in less than 3 months
- 🩺 3,200+: Number of pets who already received life-changing care with PumpkinNow
Autonomous Driving/Insurance
Driverless Cars Are Changing the Future of Claims
[Ed. Note: Excellent article, highly recommended]
In the age of a tech-fueled automotive transformation in which vehicle usage is at an all-time high, the public perception of uncertainty around driverless cars remains.
As of 2025, only 13% of U.S. Consumers would trust riding in an autonomous vehicle. Many consumers still remain concerned with the lack of human control, and the unpredictability of how autonomous vehicles might respond in complex situations. Through tracking automotive claims, it has been found that, to the contrary, autonomous vehicles result in minimal claims compared to human error, which is the cause of 90% of accidents. The statistics speak for themselves.
Chris Bakes, managing director of auto solutions at Sedgwick
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