Sparkassen Versicherung withdraws from the id factory project and invests in internal innovations

Sparkassen Versicherung withdraws from the id factory project and invests in internal innovations

According to a report by www.procontra-online.de, Sparkassen Versicherung is withdrawing from the id factory, a joint project of the savings bank insurers. Sparkassen-Versicherung previously held 30 percent of the shares in the digital subsidiary, but has now divested itself of all shares. In return, Provinzial and Versicherungskammer Bayern increased their shares to 50 percent each. The id-Fabrik was founded in 2019 by the Versicherungskammer, Sparkassen-Versicherung, Provinzial Rheinland and Provinzial NordWest to develop digital solutions for insurance sales and customer service. Sparkassen Versicherung stated that it has built up internal capacities in innovation management in recent years and now has its own resources to take up ideas and developments from the areas of technology and digitalization and further develop them into innovations for the insurance industry. In the future, the investment focus will therefore be on our own internal projects, but we will continue to be in cooperative communication with the id-Fabrik and the other shareholders.

As an economic expert, it can be said that Sparkassen Versicherung's exit from the id factory could have significant effects on the market and the industry. The increased shares of Provinzial and Versicherungskammer Bayern show that these companies could now play a larger role in the development of digital solutions for the insurance sector. At the same time, Sparkassen Versicherung's exit means that they will now increasingly concentrate their resources and investments on internal projects. This could lead to increased competitiveness of Sparkassen Versicherung, but also to increased competitiveness of the remaining shareholders in the id factory. It remains to be seen how this step will impact digital development in the insurance industry in the long term.