InsuraGuest Technologies Inc. (TSX.V: ISGI) Strengthens Vacation-Rental Presence Through End-to-End Platform, API Integration
- Integration of Hostfully property-management platform, InsuraGuest API completed
- InsuraGuest books record monthly revenues in July
- Development of new insurtech business-owner policy portal continues
- Capital restructuring reduces debt, interest expense
Innovative insurtech leader InsuraGuest Technologies (TSX.V: ISGI) (OTC: IGSTF) appears set to bolster its presence in the vacation-rental market. The company has completed the integration of the end-to-end, property-management platform operated by Hostfully Inc. with InsuraGuest’s Application Programming Interface (“API”). The partnership allows Hostfully clients to access InsuraGuest’s hospitality products, a development that should boost revenues, already trending upwards. In July, the company’s hospitality division had its best revenue month ever despite the downturn in the sector due to the pandemic (http://nnw.fm/9fpvF). InsuraGuest’s Hospitality Liability Policy is a supplemental insurance product for hotels, vacation-rental operators and similar establishments, which is enjoying increasing adoption.
Work on the new InsurTech Business Owner Policy (“BOP”) portal continues. ISGI expects to have the portal fully operational by the third quarter of 2020. Now, with a stronger balance sheet due to recent capital restructuring, InsuraGuest is closer to realizing its goal of transforming the way insurance is delivered with the revolutionary idea that insurance should be bought, not sold.
The integration of Hostfully’s property-management platform and InsuraGuest’s API allows Hostfully clients — vacation rental operators and owners — to provide their patrons with InsuraGuest’s Hospitality Liability coverage. After sign-up, the rental property will be able to offer the hospitality product to registered guests, along with others in the party, upon check-in. The charge for coverage will appear as a separate line item to be paid for by the guest. InsuraGuest’s Hospitality Liability policy provides coverage for theft of personal property while at the establishment, as well as accidental medical expenses and accidental death and dismemberment.
More partnerships like this are forthcoming. The InsuraGuest insurtech platform is capable of meshing with approximately 70 different hotel property-management systems, including Oracle Opera, Hilton-ONQ, Springer-Miller Systems, Marriot Fosse, Marriott Full Service, Agilysys and Lightspeed GPS.
However, InsuraGuest is not confining its services to the hospitality industry. The company is taking its technology to the small-business sector. Presently, ISGI is developing a new Business Owner Policy (“BOP”) InsurTech platform to serve the special needs of small-business owners. The BOP will cover over 130 class codes, including retail, wholesale, mercantile, office and business service classes. (General liability class codes are assigned by underwriters as a way of classifying and grouping businesses by risk.) Small businesses will be able to purchase the BOP online through a dedicated portal, www.InsureThePeople.com (“ITP”), which will be open to U.S. markets by the third quarter of 2020.
With strong growth continuing in the vacation-rental market, InsuraGuest is positioning itself to meet rising demand. The vacation-rental market reached $57 million in 2019 and is currently growing at a rate of 6.9 percent per annum. A recent strengthening of the balance sheet—swapping debt for shares—will certainly help (http://nnw.fm/WCqPQ). The company announced the issue of 4,901,625 shares of common stock to reduce approximately $765,607.83 (CDN) of debt, incurred in connection with services the company and its wholly owned subsidiary, InsuraGuest Inc., received over the past year and half.
Of the shares to be issued, 2,271,127 shares will go to Douglas K. Anderson, a director of the company and its current CEO, while 150,000 shares will be issued to an entity controlled by CFO Logan B. Anderson, who is also a director. The debt/equity swaps will preserve cash and reduce expenses.
For more information, visit the company’s website at www.InsuraGuest.com.