Tokio Marine invests in spacetech start-up ICEYE to develop insurance products using satellite data
Japanese insurance group Tokio Marine Holdings has made a strategic investment in Finnish spacetech start-up ICEYE to together develop new insurance products and services that utilise satellite data.
Tokio Marine's investment forms part of the wider Series D funding round during which ICEYE raised $136 million.
ICEYE operates the world’s first SAR satellite constellation focussed on the insurance industry. By combining data from its spaceborne sensors with multiple auxiliary information sources it creates easily ingestible hazard data which can be delivered to the insurance company in near real-time.
The partnership will see ICEYE and Tokio Marine collaborate on a series of initiatives designed to facilitate the digital transformation of insurance claims capabilities and develop new insurance products and services to address the increasing frequency and severity of natural catastrophes and the growing impact of climate change.
The two companies will focus on three key initiatives, including developing advanced insurance claims services for wind-related damage, using satellite images and auxiliary data to estimate the presence and extent of roof damage in the aftermath of a windstorm event. They will also develop processes that will accelerate insurance claims payments across all companies within the Tokio Marine Group and support the development of parametric insurance products, as well as work on more effective ways of detecting potential disasters through satellite data and supporting response efforts by monitoring changes on the ground.
"We are pleased to announce that Tokio Marine has entered into a strategic collaboration with ICEYE by participating in their Series D financing round,” said Masashi Namatame, group chief digital officer of Tokio Marine Holdings.
“We have been working with ICEYE since 2020 and jointly developed an insurance claims processing solution for floods, that streamlines and enables quicker delivery of claim payments. This collaboration represents both ICEYE and Tokio Marine’s strong commitment to take positive action and initiative against additional risks.
“By combining ICEYE’s vertically integrated satellite solutions and Tokio Marine’s historical data, we strongly believe that we can develop multiple solutions to address serious natural catastrophe risks and support our customers and society throughout the world in their time of need."
Rafal Modrzewski (pictured), CEO and co-founder of ICEYE, added: “Our collaboration with Tokio Marine to date has been integral to the advancements that we have made in our insurance-focused solutions. Today’s announcement marks the next stage in our collaboration as we work to develop new products and services that have the potential to be transformative for insurance. By capitalizing on satellite data, analytical capabilities, artificial intelligence and machine learning, we can enhance responsiveness to catastrophic events, support more effective claims management, ensure speedier payment to those affected, and augment disaster detection capabilities.”
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