Reliance Global Announces Strategic Partnership and Investment Into NSURE, Inc., America's lst Licensed Digital Insurance Age...
February 20 2020 - 10:18AM
InvestorsHub NewsWire
Reliance Global Announces Strategic
Partnership and Investment Into NSURE, Inc., America’s lst Licensed
Digital Insurance Agency
Nsure.com poised to disrupt $340
billion home and auto insurance market
LAKEWOOD, NJ -- February 20, 2020 -- InvestorsHub NewsWire
-- Reliance Global Group, Inc. (OTCQB:
RELI) ("Reliance" or the "Company"), today announced
that it has formed a strategic partnership with Nsure, Inc.
(“Nsure.com”), America’s first licensed digital insurance agency®,
and has consummated a $1 million direct investment representing the
first in a series of planned investments, expected to total $20
million, at which time, Reliance Global Group would own 35% of
Nsure.com with an option to acquire an additional 5%, bringing the
total to 40% of Nsure.com. In connection with the strategic
partnership, Nsure.com will provide back-end support for Reliance’s
agency business, which is expected to drive significant
efficiencies and cost reductions.
Nsure.com is a licensed
online insurance agency that utilizes state of the art digital
technology and represents over 30 top-rated insurance
companies. Nsure.com’s mission is to empower insurance
consumers by helping them choose the best carriers and policies.
Nsure.com has a recurring revenue model that includes annual
commissions on all policies, including renewals. Nsure.com
currently operates within the state of Florida with plans to expand
nationwide through the strategic partnership with RELI. Key
benefits of the Nsure.com platform include:
- Simplified application process – Nsure.com uses
artificial intelligence and other advanced technologies to mine
multiple data sources and auto-fill complicated insurance
applications, e.g. home characteristics: construction type, roof
shape, roof covering, foundation type, flood zone, etc.
- Real-time connection with over 30 top-rated insurers
allows consumers to transparently compare real, not estimated,
quotes from multiple insurers side-by-side.
- Instant accurate coverage recommendations for home and
auto insurance, providing consumers confidence they are not under
or over-insured.
- In-house insurance buying/policy binding capabilities
means no redirection to other websites and ability to finalize
purchases on Nsure.com in as little as five minutes.
- Free and secure account enables 24/7 access to quotes,
policies and other documents.
- When it's time for a policy renewal, Nsure.com
automatically informs customers about the best offers in the market
before their policy expires.
Nsure.com has a team of licensed insurance agents available to
answer any questions, and guide clients through the claims process.
These agents are not salespeople, but rather licensed specialists
trained to help customers with any insurance question.
Ezra Beyman, CEO of Reliance Global Group, stated, “We believe
this strategic investment and partnership with Nsure.com will be a
transformative event for the Company for two key reasons.
First, we believe our equity investment into Nsure.com has the
potential to drive massive value for our shareholders. Being
on the front lines of the insurance agency business, we recognize
that this is a market ripe for disruption like so many industries
before, such as online shopping, online travel, etc. However,
given the inherent regulatory hurdles, the insurance industry has
been slow to adapt—until now. We conducted extensive due
diligence into Nsure.com, and believe their technology addresses
all the key hurdles necessary for consumer adoption.
Nsure.com has developed proprietary technology that makes it quick
and easy for consumers to compare and buy insurance online,
enabling them to save time and money. The US personal home
and auto insurance market is valued at approximately $340 billion
in annual premiums and more than $34 billion in recurring annual
insurance agency commissions. We estimate that a mere 10% of
the market is now online. As this market migrates from
offline to online, we believe Nsure.com will be at the forefront of
the industry. Moreover, the current insurance purchasing
processes is time consuming and lacks transparency. It is
estimated that Americans overspend for their home and auto
insurance by $30 billion annually. Most of the current online sites
are simply lead generators, which result in false insurance quotes,
constant spam and aggressive sales pitches. Consumers
are looking for a partner website they can trust. For this
reason, we look forward to working closely with Nsure.com to help
foster their success and drive value for both consumers and our
shareholders.
“The second key benefit of this transaction is that we will now
be able to utilize Nsure.com’s proprietary backend processing
technology to support our traditional agency business.
Specifically, we can focus on growing revenues, by acquiring
traditional ‘offline’ home and auto agencies, while Nsure.com can
more cost effectively service the acquired policies. By
implementing artificial intelligence, robotic process automation
(RPA) and automatic shopping for best rates at renewals, we believe
we can dramatically reduce costs, and allow our agents to focus on
selling new policies, creating a digitally empowered and scalable
insurance agency model. Through continued M&A of cash flow
positive and accretive acquisition, we look forward to rapidly
expanding our network nationwide. We believe the competitive
advantages offered by aligning with Nsure.com will support our
accelerated growth and drive massive value creation.”
“Our Florida customers love Nsure.com because of the exceptional
‘Amazon-like’ insurance shopping experience. This planned $20M
financing from Reliance will be used to fuel Nsure.com’s nationwide
expansion, with a goal to establish a strong presence in markets
covering more than 80% of U.S. population by the end of 2021,” said
Wojtek Gudaszewski, CEO of Nsure.com. “This investment partnership
is also timely, as the insurance sector is undergoing rapid
transformation. According to FT Partners report, in 2019
total financings within the insurance technology marketplace
reached $4.4 billion, representing 76% growth over the same period
last year. Companies like Hippo Insurance, Lemonade and Root have
each surpassed $1 billion valuations. We look forward to
deploying this capital towards accelerating product development,
expanding our team, building partnerships with mortgage originators
and acquiring new customers.”
About Nsure.com
Based in Florida, Nsure.com is the first all-digital licensed
insurance agency that provides auto and home insurance via its
secure website. Employing the most advanced data technology to
track up-to-the-minute, real, not estimated, quotes from more than
two dozen insurance carriers, Nsure.com enables customers to take
complete control of the insurance buying process on their
smartphones, tablets and computers. The company's platform delivers
a hassle-free experience, from a streamlined application process
and instant quotes to no sales pitches and a simple renewal process
that automatically updates quotes just prior to expiration so that
customers can take advantage of the best rates and coverage
possible.
About Reliance Global Group, Inc.
Reliance Global Group, Inc. (OTCQB:
RELI) is moving forward with its goal to operate as a holding
company for several companies in the real estate, insurance
brokerage, and potentially other sectors. RELI's focus continues to
be to grow the Company by pursuing an aggressive growth strategy of
acquisition opportunities, including both real estate and insurance
agencies. Insurance agencies, as opposed to insurance carriers,
bear no insurance risk. The Company is controlled by Reliance
Global Holdings, LLC, a New York-based limited liability company,
which is the owner and operator of numerous companies with core
interests invested in real estate and insurance brokerage.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the "safe harbor" provisions of the Private
Securities Litigation Reform Act of 1995. Statements other than
statements of historical facts included in this press release may
constitute forward-looking statements and are not guarantees of
future performance, condition or results and involve a number of
risks and uncertainties. Actual results may differ materially from
those in the forward-looking statements as a result of a number of
factors, including those described from time to time in our filings
with the Securities and Exchange Commission and elsewhere. The
Company undertakes no duty to update any forward-looking statement
made herein. All forward-looking statements speak only as of the
date of this press release.
Contact:
Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: RELI@crescendo-ir.com