Matt Connolly, the Founder and CEO of international insurance market intelligence company Sønr, was a highlight of the recent Resonate 25 Insurance Innovation conference in Auckland where he presented key findings from Sønr’s fascinating Beyond Boundaries research report.
Hot on the heels of the report’s global release at ITC Vegas - the world’s largest gathering of those who are passionate about driving innovation in insurance – Matt headed to Auckland to share unique insights into emerging and established tech companies leading transformation in the global insurance industry.
CoverNote caught up with him to ask a few questions.
What are the key trends you see shaping the future of insurance in the global market?
1. AI is becoming core infrastructure. It’s transforming underwriting, claims, and customer service - but also introducing entirely new risk classes that need insuring. There’s no question that much of the current AI frenzy has the hallmarks of a bubble - inflated valuations, rushed implementations, and a lot of noise. But even if some of that cools, the underlying transformation is very real. AI isn’t just a tool anymore; it’s becoming a foundational layer of how insurers operate and compete. Over the next few years, we’ll see a separation between those chasing headlines and those building enduring capability - embedding AI deeply into processes, decisioning, and product innovation. And that’s where the real value will emerge.
2. Embedded insurance is maturing. The shift from selling to embedding coverage in ecosystems - retail, mobility, health - is unlocking new distribution models and customer reach.
3. Climate resilience is front and centre. From parametric products to carbon credit insurance, climate-driven innovation is rapidly evolving from niche to mainstream.
4. Operational transformation is accelerating. Insurers are finally modernising tech stacks, building API-based platforms, and investing heavily in talent and upskilling.
How can New Zealand brokerages best prepare to respond to these trends?
Brokers play a crucial role in translating global change into local opportunity. The key is staying informed, adaptable and connected.
First, it’s essential to stay across global developments - who’s investing, where innovation is emerging, and how customer expectations are shifting. For example (and excuse the plug), Sønr’s market intelligence helps brokers and insurers worldwide anticipate these shifts and identify opportunities early.
Second, use technology to enhance what you already do best. Digital tools can streamline admin, provide richer insights, and free up time for deeper client engagement.
Finally, think collaboration. Partnering with insurers, service providers, and even startups will be key. Those who keep one eye on the global picture and the other on how to apply it locally will be the ones leading the market.
Did you notice anything unique about the New Zealand insurance market?
New Zealand is often described as an innovation petri dish - small enough to experiment, yet advanced enough to make ideas scale. That creates a powerful environment for testing and proving new models.
What really stands out is the access to leadership. It’s possible to reach and collaborate with senior decision-makers across the industry, and that proximity helps innovation move quickly from concept to delivery. Few markets in the world have that level of openness.
There’s also a deep and practical focus on climate resilience, which aligns with global priorities but runs deeper here because of the country’s exposure to natural catastrophes. It’s not just about modelling risk; it’s about designing better cover and mitigation strategies.
Size, access, and collaboration make New Zealand one of the most agile and opportunity-rich insurance markets globally.
The Beyond Boundaries report says, “For years, innovation in insurance has been rich in discussion but slow in delivery.” Is delivery speeding up now?
It is - and noticeably so. Innovation is no longer a side project; it’s embedded in the core of how insurers operate. Years of modernising legacy systems are paying off, giving insurers the ability to launch and scale new products far faster. There’s also a cultural shift underway: leadership teams are demanding measurable outcomes, not just pilot programmes or proofs-of-concept.
Partnerships between incumbents and insurtechs have accelerated things, too. They bring together scale, capital and agility - which turns ideas into market-ready products at pace. And external pressure helps: from AI disruption to customer expectations shaped by tech giants, the industry knows that slow execution now means falling behind.
So yes, delivery has sped up - not because innovation has changed, but because the mindset around how it’s delivered has.
Beyond Boundaries emphasises the role AI and technology in general are now playing. Are you seeing demographics play a role in accepting AI and change within the industry?
Demographics definitely play a part - but mindset matters more.
Younger professionals tend to embrace new tools naturally, while more experienced teams bring the contextual knowledge needed to apply them responsibly. The most progressive insurers are blending those strengths and upskilling across generations, ensuring AI isn’t just a tech initiative but part of how everyone works.
The same is true for customers. Younger generations expect instant, digital experiences; older ones value trust and reassurance. The best players design journeys that combine automation with human connection.
The divide isn’t really about age. It’s between those willing to adapt and those waiting to see what happens. The companies leaning in, learning fast, and applying AI with purpose are setting the pace.
What’s your favourite case study from the Beyond Boundaries Signal50 list?
Testudo is a great example - they’re building insurance around AI liability, which is one of the newest and fastest-growing areas of risk. As AI gets embedded into everything we do, the question of who’s responsible when things go wrong becomes huge. Testudo’s ahead of the curve on that.
I’m also really interested in the climate-focused ventures like Kita and CarbonPool, which are creating cover for carbon markets and renewable energy projects. They’re showing how insurance can actually help drive the transition to net zero.
Then there’s a wave of femtech and health innovators doing incredible work - companies like Fertifa in the UK, Hvild in Norway, and Koltin in Mexico. They’re rethinking protection around fertility, menopause and senior health, areas that traditional insurance has largely overlooked. It’s refreshing to see new products built around inclusion, prevention, and real-world needs, rather than legacy assumptions.
What I love most is that these startups aren’t just improving existing products; they’re redefining what insurance is for. That’s what the Signal50 captures so well - the creativity and conviction driving the next wave of change in our industry.
