etn.
00:07:32 · William Loveday Powell, Ed Leon Klinger, Fabian
[00:07:32] S2: Yes. What [00:07:32] S3: what... What's the motivator for you as a founder? Like, what what... Why is that attractive to spend the the best years of your life building enhanced risk management models for bottle companies? [00:07:42] S2: Yes. Okay. I said to the boys at the start, I'd kind of been through that cycle of seeing, you know, you can either be very product focused and win. It's gonna become harder and harder now. Or you're very conceptional and raise a lot of money and kind of kick off an acquihire. I felt like I wanted to build an industry where at least if there's some fundamental change it's seen over a longer time horizon. Purely from an economic perspective but just seeing how that change can actually speed things up, make things better. And the real hope was thinking where can I leave a mark that's kind of a bit more substantial and grounded over time? [00:08:13] S3: What what... So kind of related to this, you know, one of the challenges with Insurtech, and I speak to a lot of Insurtechs is, I mean, the key is in the name. Insurtech. Yes. Two industries which traditionally [00:08:25] S2: Just the position there. [00:08:26] S3: Not been so... You know, they they don't go well together. It's slightly oil and water. Yes. And the reason that's such a big challenge is because if you're building an InsurTech, you're probably working with the insurers or the reinsurers or the brokers. [00:08:37] S6: Of course.
00:08:37 · Fabian, Ed Leon Klinger, William Loveday Powell
[00:08:37] S6: Of course. [00:08:38] S3: So you're involving that world, and you probably need to hire some expertise from that world. But then you're also building tech and you're building AI, which is a completely different space, it requires completely different people. Yes. Different people with different mindsets, different culture, maybe different backgrounds, different education. Have you given much thought into how you kind of build a team that brings together oil and water and makes them play nicely together? This is this is a bit of a soft, skills question. I'm talking about people. I'm talking about culture. I'm talking about mindset. [00:09:07] S2: Yes. Yeah. So I think it's very difficult to find the balance. We've seen with initiatives by Lloyds themselves, you can't really throw money at this situation. It seems to just make things worse. Know, if you bring a consultant they have no vested interest to really change things. I think we really need to start by going to brokers and saying if you join us you might have more sovereign control over your book. You might have more of a commercial vested interest to place with us. And then hopefully, if the business is running in a very exciting way, engineers will follow. But really going from thinking about the actual industry experts before we consider the engineering side.
00:09:07 · William Loveday Powell, Ed Leon Klinger, Sam
[00:09:07] S2: Yes. Yeah. So I think it's very difficult to find the balance. We've seen with initiatives by Lloyds themselves, you can't really throw money at this situation. It seems to just make things worse. Know, if you bring a consultant they have no vested interest to really change things. I think we really need to start by going to brokers and saying if you join us you might have more sovereign control over your book. You might have more of a commercial vested interest to place with us. And then hopefully, if the business is running in a very exciting way, engineers will follow. But really going from thinking about the actual industry experts before we consider the engineering side. [00:09:44] S3: And so what's your killer hire? I could, let's say I wanted to help you out, and I know a bunch of people in this space, and if you said, look, we absolutely need to hire this killer, who are they? Or who are the people that you would hire first, do you reckon? [00:09:59] S2: Definitely like post pre seed, hire someone who's on the cat modeling side, very analytical, but also super in-depth in terms of client breadth on the insurance and reinsurance side. So, a bit of a generalist, but a technical broker would be a great hire for us. [00:10:14] S3: Do do I have time for one to... For one final question? [00:10:17] S1: Yeah. Last one. Yeah. One more one more question.
00:10:17 · Sam, Ed Leon Klinger, William Loveday Powell
[00:10:17] S1: Yeah. Last one. Yeah. One more one more question. [00:10:19] S3: Let's say let's say we we speak in six months, and you're like, Ed, my business is dead. I couldn't get it off the ground. Yeah. Let... Let's say you even managed to raise money, but you just you just couldn't get it to work. In in your mind, what what are, like, a two or three reasons why you're why you're saying that? What what what's gonna kill the business? [00:10:39] S2: Sure. So the main thing is like becoming regulated. So there's a big kind of question mark on how quickly can we get the FCA authorization. It's a key piece. Can't I feel like if we just sell software to risk managers, there's real cap on the size of how big that business could be. So one piece is really being able to operate as a real intermediary. That's a real deciding factor in the next six months. Equally, it will probably be a case of seeing how much of a placement we can take. If economics aren't really at the scale we have real skin in the game, it might not even be worth a client switching part of their placement over to us. So, it's really finding how we can be a significant kind of help in them finding their insurance. If either of those things don't really work in our favor, that could kill the business for sure. But let's hope not. [00:11:24] S3: I lied. I've got one more question. [00:11:26] S1: One more? Sure. [00:11:29] S3: Give us like, know, strike, talk about the size of their mission. Like changing... [00:11:34] S2: The sense of GDP. Here we go. [00:11:36] S3: What's yours?
00:11:36 · Ed Leon Klinger, William Loveday Powell, Sam, Fabian
[00:11:36] S3: What's yours? [00:11:38] S2: Sure. So, first kind of ambition is to be as big as one of the main kind of global brokers. I mean Marsh are doing 11,000,000,000 in captive reinsurance alone. So, they're reinsuring books of companies that are self insuring. If we can get to the scale where we've done captives but then eventually the primary might become easier to place, we have a $4,000,000,000,000 global market without life insurance considered. So being kind of part of that digital quoting infrastructure and managing to connect clients to capacity at that scale is hopefully a really big opportunity. I won't correlate it to GDP for now, but you have to put [00:12:13] S1: the trillion dollar he's weighing. Yeah, yeah. [00:12:15] S3: You're $5,000,000,000,000 industry and it's only going to grow, so there's all sorts of new complicated risks emerging, especially in the world of AI. Yes. So you're you're tapping into a very, very big rapidly growing market. It sounds like you're you're exploring quite an interesting space. So I wish you the best of luck, and may the odds be in your favor. [00:12:33] S1: Thanks a lot, Ed. We'll connect you guys offline. Perfect. You can spar offline, maybe. [00:12:37] S6: Yes. Here we go. [00:12:39] S2: Do it. [00:12:40] S1: You're a legend. [00:12:40] S3: I will. [00:12:41] S2: Thanks a lot. Speak soon. [00:12:42] S6: Bye bye. [00:12:42] S3: Thanks, etn, boys.
00:12:42 · Ed Leon Klinger, Sam, William Loveday Powell, Kosta
[00:12:42] S3: Thanks, etn, boys. [00:12:44] S1: Thanks, Ed. We'll see you soon. That's Crab Pint. That is the James Bond of the insurance. Okay. Right there. Thanks, Ed. That's it. Thank you so much. Yeah. Thank you for pitching live. Appreciate it. We'll see you soon. [00:12:55] S2: See you [00:12:56] S0: soon. Nice one, mate. Ciao. Go well, buddy. First ever live pitch on etn. Our next guest, I believe Is an absolute legend. He's so good. These questions are great. Got James Lowe coming into the studio. James James, coming to you. Cofounder of ethos. [00:13:15] S1: I'm so good. I'm so good. [00:13:16] S0: So good to see you, bro. You well? Please take a seat. Put yourself with these headphones. There [00:13:22] S1: you go. There you go. [00:13:23] S0: Okay. Go. James. I think we have to start with [00:13:26] S1: a quick how are you? The last time we saw you, our jaws were on the floor with how insane this company is. Give us a... Yeah. We need a temp check. What's the update from me, Kosta, and you?