In the past few years, a number of technologies and trends have entered the Insurance domain. They have given a new outlook to the industry, while offering solutions to cope up with multiple challenges prevailing in the market.
One such trend that has changed the landscape of the domain is On-demand insurance.
The On-demand model in insurance industry has brought into greater opportunities for users and have made it easier for them to claim an insurance policy as per their needs. This has not only attracted users, but have also encouraged entrepreneurs to look answers for questions around how much does On-demand insurance app development cost. Something we will cover in this article.
But before we disclose the cost value, it is good to know who you are competing against and prepare yourself accordingly.
So, let’s dive into the market and see what are the top on-demand insurance apps.
Top Players in the On-demand Insurance Market
All these applications, one way or the other, have given a lift to the traditional on-demand insurance domain. Something about which you will learn better by going through the next section looking into the issues these apps have solved.
Issues That On-demand Insurance Apps like Trōv Have Solved
1. Insurance for Multiple Things
Earlier, there were limited types of mobile insurance apps. Users were able to claim an insurance only for vehicles, mobiles, traveling, and healthcare solutions.
But, with the advent of on-demand insurance applications like Trōv and Verifly (now Thimble), insurance for various other professions and devices has come true. This has opened a whole new world of opportunities for businesses to enter the domain.
2. Short-term Insurance
With the changing working model, the need for long-term insurance coverage was becoming a less-required thing. Users were expecting flexible insurance models, just like their jobs.
This is another gap that Trōv-like insurance apps filled by providing short and on-demand insurance to their user base.
With this now attended to, it is likely that you would want to know the On-demand insurance app development cost and make your entry official in the domain.
But, before you get to the state of knowing the estimate of the cost of Verifly clone app or that of Trōv, it is imperative to be familiar with the features and functionalities that are common in both.
Features to Introduce in Your On-demand Insurance App Development Process
1. Pick a Category
Since applications like Trōv and Verifly covers insurance of over 100 different items, and not just on automobiles like what State Farm does, picking a category is the foremost feature to look at.
This feature gives users an opportunity to choose the type of insurance they want out of hundreds of available options .
2. Payment Reminders
Payment reminders facilitates users with on-time reminders about fulfilling the requisites, and other payment-related services.
3. Customized Insurance Policy
Here, users get an option to customize the available insurance policy options based upon the time frame and other basic needs.
4. In-App Chat
In-app chat is yet another feature that should be introduced in the process to develop on-demand insurance app like Trōv, verifly, sure, and cuvva.
This feature enables users to have a real-time communication with agents through in-built chatbots and get clarity of what type of insurance plan they should invest in, alongside finding solutions to other challenges they are facing.
5. QR Code Scanner
This feature is also a must-have in the application from the perspective of verifying the authenticity of any policy.
6. Currency Conversion
Another feature that is often seen in Trōv-like mobile apps is Currency Conversion. That gives users the opportunity to convert currencies from one form to another in real-time.
While these are the features that should be taken into account while designing an on-demand insurance application, it is also good to have an understanding of their UI/UX design to ensure that you build a profitable app out of the investment you did in terms of cost to develop Trōv clone app.
UX/UI Takeaways of On-Demand Insurance Apps
1. Simple and Easy Sign-up Process
On-demand insurance apps like Cuvva, Trōv, and Verifly ask for limited information during sign-up process and encourage users to fill out all the personal details later.
This experience, which is one of the key drivers behind their popularity, is in sync with their goal to offer insurance in the case of emergencies.
2. Hassle-free Search Functionality
Rather than just adding a search button on the top of the screen, they have also mentioned the top searched phrases. This makes it easier for users to proceed further in case they wanted to search around the same keyword/phrase.
3. Card Design Layout
Card layout, which was one of the top mobile app UI trends last year, also contribute to making these applications popular.
This makes it easier to differentiate between different elements present on the application; giving them a clean and finished look. Something that reduces the chances of users getting confused and exiting the platform before a speculated time.
Also, these apps have embraced the idea of minimal design which has made it easier for users to focus on the main purpose, rather than getting distracted by the animation, and other such options available on the screen.
So, these are the experiences that have made users attracted to such apps. However, they have not made this possible single handedly. These features are backed by a complete set of programming languages, frameworks, and tools that makes them capable to perform efficiently and rule users’ mind.
Choosing the best technology stack for your mobile app plays a huge role in its success rate. This, in turn, means that having a knowledge of what tech stack do applications like Trōv and Verifly use, is very helpful.
So, let’s look into their tech stack, before jumping onto the on-demand insurance app development cost section.
Tech Stack for On-demand Insurance App Development
While all the information that you now have on On-demand insurance mobile app tech stack and features, might make it seem like the app development process is easier, it is not so.
The process to build Trōv & verifly like insurance mobile app is accompanied by various challenges that app development companies and on-demand insurance business enthusiasts have to deal with.
So, to help you be familiar with such challenges and build better strategies for a successful entry into the on-demand app market, let’s uncover some of the common business and development challenges here.
Business and Development Challenges You Might Face While Building Trōv-like App
1. Insurance Frauds
The foremost challenge that every On-demand app builder and business people has to solve is to deliver a secure experience.
The architecture of on on-demand insurance platform is complex one in terms of the preparation that has to be done for fraud tracking and fraud management. It is difficult to distinguish between a genuine and fraud incident, which makes it more vulnerable to hacking, phishing, and identity theft.
Besides, the claim handling process is not translucent. This makes it difficult to deliver a personalized and secure experience to consumers.
2. Data Breach Threat
Data breaches is also one of the biggest challenges in developing on-demand insurance mobile apps.
This is because such applications gather, store, and process a heap of customer personal data, because of which it becomes a playground of several hackers and cyberintruders looking for loopholes in the architecture.
3. Lower Revenue Generation
Unlike traditional insurance apps where users pay premium amount for long-term, these applications offer short-term and on-demand insurance plans. Here, the risk of occurrence of an accident or calamity is higher, which indicates less probability of making profits.
With all the technicalities discussed, let’s move to the On-demand insurance app cost estimate section.
How Much Does On-demand Insurance App Development Costs?
The answer to how much does it cost to build an insurance app like Trōv and Verifly is not certain. This is because mobile app development cost differs on the basis of several factors like app complexity, number of platforms you target, the devices you make your app available on, the location you target, the app development team you hire, the type of design and development tools you pick, etc.
So, the most optimal method to follow to know the exact Trōv like app development cost breakdown is to consult with the best on demand app developers.
Now, while this might help you with getting an understanding of how much you need to invest in On-demand insurance app development process, let’s uncover how to earn the money back.
Business and Revenue Model of On-demand Insurance Apps
Trōv like insurance apps operate with different usage-based insurance models to make profits. However, the three common monetization strategies they follow are:-
1. Advertising Model
Most of the On-demand insurance apps make money by allowing other companies to publish their advertisement on their platform.
2. Subscription Model
An On-demand short term insurance app also considers subscription model for earning money.
This is one of the best monetization strategies where a user has to pay a subscription fee to enjoy premium features of insurance app for a period of time. Once the time period expires, they are asked to pay the amount again.
3. Referral Marketing
Referral marketing, the key player behind e-commerce success, is also considered by these on-demand insurance platforms for earning higher downloads and revenue.
The process encourages users to share the application with others in return for some reward. And this way, make it easier for insurance applications to come across a new user who would apply for an insurance without putting much efforts.
Now, while this On demand insurance app revenue model is apt for the present time, it might not be enough for the future. And the prime reason behind is that the target audience in this market are millennials. They demand more conventional insurance solutions and better integration of technologies in the process, which makes it necessary to keep updating your app offering.
So, while focusing in this direction, it is good to look into tips and trends that will make your application ‘millennials-ready’ both for present and future time. Something with which we will wrap up this article with.
Tips and Trends to Watch Out for Making On-demand Insurance App Successful
1. Introduction of Blockchain and AI
While AI is already being in use in the form of chatbots, there’s more to what this technology can offer to the insurance domain. It can gather, analyze, and provide better personalized and secured options using the power of predictive analytics.And, when talking about Blockchain, it introduces must-required transparency and security to the sensitive consumer data that these apps deal with.
2. App Localization
Most of on-demand insurance applications are confined to a particular region or country. Because of this, only the native citizens of those areas are able to take advantage of their services.
But, by localizing your app, you can make the benefits of on-demand insurance app available to a wider range. This will not only increase your app downloads, but will also make it easier for you to target a wider audience and enhance your brand reputation in the market.