Smartpay Corporation has unveiled a new initiative in Japan, introducing embedded insurance products in collaboration with Chubb Insurance Japan after a year of development. This partnership marks a significant step toward modernizing Japan’s traditional insurance sector, which has long been reliant on paper-based processes.
The new offering integrates digital, real-time, and personalized insurance solutions directly into the payment process, making it easier for consumers to access coverage. This move comes in response to the rising dominance of cashless payments in Japan, which now account for around 50% of consumer monthly spending. The shift reflects changing consumer preferences, placing pressure on the insurance industry to evolve and meet the demand for more convenient, streamlined services.
The global embedded insurance market is expected to grow at a compound annual growth rate (CAGR) of 11.6% from 2024 to 2030, reaching a projected value of $175.25 billion by 2030.
Smartpay’s embedded insurance technology is designed to appeal to the growing desire for convenience, particularly among Generation Z consumers, who increasingly favor digital-first solutions.
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