Key Takeaways:
– New York-based digital lender Better Home & Finance Holding Company has launched Better Insurance, a fully digital platform for customers to shop for homeowners insurance.
– Better Insurance is available through the company’s insurance arm, Better Cover, which partners with over 20 insurance providers.
– The white-label solution eliminates redundancy and offers competitive pricing without the need for insurance agents.
– Better Insurance asks customers questions about their property and provides them with a preview of insurance options based on their needs.
– Currently available in Arizona, Oregon, and Illinois, Better Insurance will expand to Oklahoma, Tennessee, and Wisconsin in December, with the goal of offering the service in all 50 states by 2024.
– Better Insurance was created in collaboration with insurance tech firm Sure and insurance company Toggle.
– Better Home & Finance Holding Company originated $900 million in production volume in Q2 and reported a net loss of $45.5 million, an improvement from the previous quarter.
– The company aims to become a leading digital homeownership company and a white-label provider of mortgage tech.
HousingWire:
New York-based digital lender Better Home & Finance Holding Company launched Better Insurance to allow customers to shop for homeowners insurance through a fully digital platform.
Better Insurance is the latest innovation available through the company’s insurance arm, Better Cover, which partners with more than 20 different insurance providers, according to the firm.
The white-label solution will eliminate redundancy and offer competitive pricing for customers without engaging with insurance agents, Nick Taylor, head of real estate at Better, said in an interview with HousingWire.
“Better Insurance is fully autonomous. Anytime we can eliminate redundancy or create more efficiency in the process, we’re obviously going to create more value for the customer that can be rolled over through more competitive rates,” Taylor said.
He added: “I do think part of this is driven by the changing landscape within the home insurance industry right now, with what’s going on with rates and insurance premiums going up. But ultimately, we think that this is just going to be something that will make it a naturally more convenient process for that home insurance shopper.”
When a buyer applies for home insurance, Better Insurance asks questions about the type of property and estimated home sales price, then the firm provides customers with a preview of insurance options.
“Better Insurance will present them (customers) with a deductible, we’re going to present them with a coverage option,” Taylor said, noting that coverage may fluctuate depending on the homeowner’s needs. “Let’s say they did a remodel on their kitchen and that remodel is something that they want to capture as part of the coverage value of their home insurance. This allows them to set that coverage price a little more independently and lock in the insurance rate that they want to pay.”
Currently available in Arizona, Oregon and Illinois, the solution will be offered in three additional states – Oklahoma, Tennessee and Wisconsin – in December. The goal for Better Insurance is to offer the service to all 50 states by 2024.
Better Insurance was created in collaboration with insurance tech firm Sure and insurance company Toggle.
The digital lender, which debuted on the Nasdaq after a two-year journey in August, originated $900 million in production volume in the second quarter, compared to $800 million in Q1.
Better reported a net loss of $45.5 million in Q2, an improvement from a net loss of $89.9 million the previous quarter.
The lender’s shares were trading for less than $0.50 on Thursday, plummeting from roughly $17 when its special-purpose acquisition company (SPAC) partner Aurora Acquisition Corp. sold the day before the lender went public.
“We try not to look at what the stock price is doing day to day; we try to look at how we are living up to our mission of servicing customers,” Taylor said.
Better ranked as the 62nd largest mortgage lender in the first half of 2023, according to Inside Mortgage Finance.
Noting that market conditions are tough across the industry, Taylor noted Better is “pretty confident” that its improved tech and additional capital will lead the lender to emerge as a “leading digital homeownership company.”
The digital lender’s strategy is to become a mortgage-as-a-service company or a white-label provider of mortgage tech.
“Our company has always tried to focus on how to make homeownership cheaper, faster and easier. I think insurance is just an important pillar of that mission,” Taylor said.
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Property Chomp’s Take:
Hey there! Have you heard about Better Home & Finance Holding Company’s latest innovation? They’ve launched Better Insurance, a fully digital platform that allows customers to shop for homeowners insurance. It’s a game-changer in the industry!
Better Insurance is part of Better Cover, the company’s insurance arm. They’ve partnered with over 20 different insurance providers to offer their customers competitive pricing without the need for insurance agents. Nick Taylor, head of real estate at Better, explained in an interview with HousingWire that this white-label solution eliminates redundancy and creates more efficiency in the process. Ultimately, it makes the home insurance shopping experience more convenient for customers.
When customers apply for home insurance through Better Insurance, they are asked questions about their property and estimated home sales price. Based on their answers, the platform provides them with a preview of insurance options. Customers can customize their coverage based on their specific needs, such as including a recent kitchen remodel in their coverage value.
Currently, Better Insurance is available in Arizona, Oregon, and Illinois. However, the company plans to expand to three more states – Oklahoma, Tennessee, and Wisconsin – in December. Their goal is to offer the service in all 50 states by 2024. This shows their commitment to making homeownership cheaper, faster, and easier for everyone.
Better Insurance was developed in collaboration with insurance tech firm Sure and insurance company Toggle. This partnership ensures that customers have access to a seamless and efficient digital insurance platform.
Better Home & Finance Holding Company made its debut on the Nasdaq in August after a two-year journey. In the second quarter, they originated $900 million in production volume, a significant increase from the previous quarter. They also reported an improved net loss of $45.5 million in Q2, showing positive growth.
Despite fluctuations in their stock price, the team at Better remains focused on their mission of servicing customers. They aim to become a leading digital homeownership company by leveraging their improved technology and additional capital.
Better’s strategy is to become a mortgage-as-a-service company or a white-label provider of mortgage tech. They want to make homeownership more accessible and affordable for everyone.
With the launch of Better Insurance, Better Home & Finance Holding Company is taking another step towards revolutionizing the home insurance industry. By offering a fully digital platform and eliminating the need for insurance agents, they are making the process more convenient and efficient for customers. It’s exciting to see how they continue to innovate and transform the homeownership experience.
