UK-Based Eleos Life Expands to US Market with Embedded Insurance Solutions
Eleos Life, a UK-based digital insurance provider, has entered the US market, offering embedded term life and disability insurance through strategic partnerships with mutual insurer Assurity and reinsurer SCOR. The company, licensed in 41 states and the District of Columbia, plans to distribute its products through banks, credit unions, and fintech platforms, aiming to improve access to individual insurance in a market where many consumers lack adequate coverage.
The US expansion is driven by significant underinsurance in the individual insurance market. Statistics show that fewer than 30% of Americans hold individual term life insurance, while around 18% have individual disability insurance. Employer and state-provided coverage can be limited and often doesn’t transfer when workers change jobs. Eleos Life’s products are designed to fill this gap by integrating insurance offers into digital platforms using application programming interfaces (APIs), allowing partners to embed these offers within existing customer journeys.
The integration process is streamlined, with Eleos Life stating that it can be completed in under a week, while regulatory compliance is managed centrally. Customers can apply for and manage policies entirely online, enhancing the user experience. The US disability insurance market, valued at around $127 billion, is expected to grow at a compound annual growth rate of nearly 12%, presenting a significant opportunity. The addressable market includes approximately 161 million employed individuals for disability insurance and about 65 million households with a primary income earner for individual term life insurance, which is estimated to be a $15 billion market.
In addition to insurance coverage, Eleos Life offers policyholders access to remote primary care and mental health counseling services, included with each policy. CEO Kiruba Shankar Eswaran emphasized the company’s goal of closing protection gaps by making insurance more accessible through everyday consumer platforms. He highlighted the low levels of individual insurance ownership as an opportunity for embedded solutions. This move is part of a broader trend of UK insurtech firms expanding into international markets, with companies like Zego, ManyPets, and YuLife also targeting the US in recent years.
Brian Barnes, vice president of partnerships at SCOR, expressed support for Eleos Life’s approach, noting the company’s established track record in the UK. As embedded insurance gains momentum globally, Eleos Life joins a growing number of startups aiming to scale through partnerships and technology-driven distribution models in markets with significant underinsurance.
