Mobility companies are innovating at high speed - yet insurance often lags behind, creating friction and missed opportunities. Traditional models still rely heavily on 12‑month policies and static, retrospective data. Some insurers also struggle to absorb dynamic data like geospatial insights, in-depth driver profiles, or real‑time driving behavior - all of which could add huge value in the mobility sector.

Meanwhile, urban professionals are increasingly embracing shared, flexible transportation over private car ownership. In a McKinsey Mobility Consumer Pulse Survey, over 25% of urban respondents said they plan to reduce their use of private vehicles, choosing on-demand and shared modes instead. In this evolving landscape, usage-based mobility is rising - and insurance must adapt to meet these new needs.

In this article, we’ll explore three  big insurance challenges mobility companies face today - and how embedded insurance can help, in part, to overcome them. From regulatory complexity to user experience and customer trust, we’ll unpack the insurance frictions that hinder mobility innovation and how BELOY’s embedded solutions are designed to help remove them.

When insurance doesn't fit this modern mobility ecosystem, it results in poor coverage choices, inflated costs, and customer dissatisfaction. To address this, mobility companies need partners who understand these evolving risks, can articulate them effectively to insurers, and leverage technology for smarter claims management and risk assessment.

And most importantly - how insurance is distributed matters. Whether protection is built-in, offered at checkout, or presented through a seamless opt‑in flow, the customer experience needs to be frictionless.

Challenge n.1: Seamless User Experience Without Sacrificing Protection

In a competitive market, customers expect simplicity, clarity, and speed. When online insurance flows become overly complex- with numerous questions, unclear coverage terms, or confusing options - users quickly abandon the process.

A study by UserTesting reveals that 58% of U.S. consumers would rather endure various life inconveniences - such as enduring traffic or repeating a single song for a year - than navigate a complex insurance enrollment process

Embedded insurance solves this by delivering simple low touch options.. With automation for eligibility and pricing, customers face fewer decisions and can move forward confidently - reducing drop-off and improving conversion rates.

By leveraging Beloy’s digital platform, insurers and clients can iterate quickly - adjusting coverage and pricing based on real-time claims data and customer feedback. This agile model ensures offerings stay aligned with user expectations and market dynamics. 

Challenge n.2: Regulatory Complexity Across Geographies

Territorial insurance requirements differ significantly across countries - and sometimes even between cities. For large mobility players or OEMs operating across multiple regions and staying compliant can be both time-consuming and resource-intensive.

This regulatory complexity often slows down go-to-market timelines. New insurance programs can take months or even years to develop, causing companies to miss growth opportunities.

While embedded insurance doesn’t directly eliminate regulatory burden, working with an experienced embedded broker with global experience can make all the difference. Beloy, for example, helps companies navigate these fragmented landscapes through deep market knowledge and cross-border expertise - particularly valuable for brands seeking pan-continent partnerships. By embedding the insurance product the regulatory differences can be hidden away, making it easier for brands to maintain consistent customer experience, regardless of the territories they operate in. 

Challenge n.3: Building and Maintaining Consumer Trust

Mobility brands like Uber or Tesla offer so much more to their customers than just trips and cars - they are experienced brands. Insurance plays a central role in that promise. Companies that treat insurance as a post-sale afterthought risk alienating their users and losing control of the service journey.

Instead, embedded insurance allows brands to stay closer to the customer throughout the lifecycle, fulfilling multiple  protection needs - whether comprehensive  motor insurance ) or additional packages like extended warranty, alloy repair, or breakdown.

This “one-stop shop” insurance model increases peace of mind,reduces customer’s effort to self-manage risk and builds trust in the program and brand. Furthermore, when it comes to claims fulfillment  Beloy’s platform supports simple embedded reporting journeys, all in one place to improve the customer experience and get the claim quickly to Insurers. 

Insurance as a Catalyst, Not a Constraint

Insurance doesn’t have to be a blocker to innovation. When data is used correctly and programs utilize technology to embed or leverage solutions, it can enable safer, smarter, and more scalable mobility experiences.

With Beloy, mobility leaders gain a partner who understands their risk landscape, helps tailor the right solutions, and adapts in real-time as the business grows.

Together, we’re helping the next generation of mobility companies move faster, without compromising on protection.

Talk to our team and see how we can help you move further, faster.