Honey 'embeds' insurance into mortgage applications with Finsure

Insurtech Honey Insurance and mortgage aggregator Finsure Group have partnered to design a digitalised process that they say embeds home insurance into mortgage applications.

Finsure’s nationwide network of more than 2000 brokers will offer clients insurance that is integrated into its Infynity platform.

“Customers of Finsure brokers can now get their home insurance at the same time they get their mortgage in an embedded journey,” Finsure CEO John Kolenda said. “Every Finsure broker will be able to offer their clients Honey Insurance products after a short online education program.”

Infynity automatically communicates with the Honey insurance platform and every eligible customer will receive pre-settlement cover of an additional 90 days on their insurance policy, ensuring cover until their day of settlement.

Honey Founder and CEO Richard Joffe says buying a house can be an overwhelming experience and a lot of the questions a customer is required to answer are the same an insurance provider asks.

“It makes complete sense to simplify this mortgage process giving the customer precious time back,” he said. “We have designed a digitalised process that embeds home insurance into the mortgage application form making the process quicker and easier for home buyers at the right time of the mortgage process.”

Honey launched last year, targeting the home and contents insurance market after securing $15.5 million in seed funding from underwriting partner RACQ and other investors including PEXA, AGL, Metricon, Mirvac, the founders of Afterpay, Airtasker and Zip, former MEBank CEO Jamie McPhee, former Corelogic CEO Graham Mirabito and former News Corp Australia and Foxtel CEO Peter Tonagh, who is now Honey Chairman.

The Honey platform will now also be available on PEXA Key, an app which enables Australian buyers and sellers the opportunity to track their settlement’s progress in real-time, and make payment directions without use of unsecure communication channels such as email.

“Honey has not only acknowledged consumers are more time poor than ever, being at the point of ‘property related decision fatigue’ by the time they are looking at home insurance, it has changed the game by offering smart tools to reduce the chance of an incident occurring, therefore mitigating the stress of loss and the need to claim,” PEXA’s Chief Customer Officer Lisa Dowie said.

Honey uses satellite and third party data to set cover and supplies smart sensors to “proactively mitigate” common claims in the home such as theft, fire and water damage, granting customers a discount on their annual premium for the adoption of these devices.