Prudential Financial Inc is set to buy online insurance startup Assurance IQ Inc.
In Brief:
-
Prudential shares have been down following poor financial results but rose slightly after the announcement.
-
Assurance uses data crunching and AI to improve revenue and cut costs.
-
Assurance brings around 17mn customers with it according to Prudential.
What does this mean?
The insurance company says there is currently a large middle market underserved within the industry, which it hopes the acquisition of a startup will help improve.
