The Innovation Gap
A research paper about startups, incumbents and the future of innovation in the London Insurance Market
Executive summary:
The study, conducted by RapidWorks, draws on in-depth interviews with 11 startups and seven senior leaders from across the Market to uncover the lived experience of innovation inside and outside Lloyd’s. The findings paint a picture of a market still rich in expertise but constrained by legacy processes, short-term incentives, and opaque pathways for new entrants.
Key findings include:
57% of startups described “extremely low transparency” when working with incumbents, with one calling the experience “a black box inside a black box.”
Only 23% of respondents believe the most meaningful innovation will take place inside the London Market in the next two years - 77% believe it will happen elsewhere.
Startups rate the Market’s innovativeness at 3.4 out of 10, compared with 6.3 out of 10 among incumbents - highlighting a deep perception gap.
100% of interviewees believe Lloyd’s and the Market’s incumbents could play a greater role in funding startups.
