Australia’s insurtech scene continues to grow and thrive despite the challenges of operating in a COVID-interrupted economy, according to Insurtech Australia.

The not-for-profit body says its latest ecosystem update of the industry shows the number of insurtechs increased 52% on last year to 85.

Insurtech Australia CEO Rita Yates says when the first edition of the ecosystem was released in 2018, there were just 36 insurtechs.

“We have seen steady growth year on year,” Ms Yates told insuranceNEWS.com.au.

“We would love to reach the milestone of 100 insurtechs next year when we deliver the 2022 Australian Insurtech ecosystem map.”

She says growth is growth evident across all six key insurance spaces where insurtechs offer their digital solutions.

The six categories are claims, smarter loss prevention, pricing and underwriting agility, efficient insurance administration, innovative marketing and distribution plus new products for better customer value.

She says there has been a “maturity and resilience" in the industry throughout COVID-19 with “so many insurtechs not just surviving but thriving and more insurtech solutions continue to be developed”.

Many insurtechs continue to build on and add to their original propositions, targeting solutions to address the needs of the broader insurance industry, she says.

The ecosystem update is the result of a collaboration with EY that was announced in June, seeking participation from insurtechs about their activities.

Ms Yates says while the number of partnerships with incumbent insurers continues to grow, it is an area that still requires much focus in order for more progress to be achieved.

Partnerships with incumbents are “a critical element” for the success of the insurtech scene, she said.