Mehrwerk and bolttech have announced a strategic partnership to expand their joint offering of embedded insurance and value-added services, initially targeting Germany with plans for further international expansion.
The collaboration brings together Germany-based Mehrwerk's data-driven B2B2C platform, covering cashback and lifestyle protection services, and Singapore-based bolttech's embedded insurance capabilities. The partnership is aimed at financial services providers, retailers, and utilities companies seeking to integrate supplementary services into their customer propositions.
Targeting retail banking with bundled services
The two companies are positioning retail banks as a primary target segment. According to consumer research cited by bolttech, more than 70% of German consumers express interest in receiving insurance and services bundled within their bank account packages, a figure the partners argue supports the case for premium-priced account tiers.
The intended product mix includes travel insurance with airport lounge access for flight delays, cyber protection, purchase protection, and cashback funded through affiliate merchant revenues. These offerings would be delivered in real time, drawing on actual banking transaction data to tailor services to individual consumer behaviour.
Mehrwerk brings an established distribution footprint to the partnership, with access to over 17 million households and more than six million active users annually. The company currently serves more than 250 B2B partners across banking, utilities, and insurance through a fully success-based commercial model, in which partners pay only for measurable outcomes. bolttech, meanwhile, operates across 39 markets spanning Asia, Europe, North America, and Africa.
Internal data from Mehrwerk indicates that embedding value-added services within financial products can raise customer satisfaction by 450% and reduce churn by up to 75%, while generating an additional EUR 50 in income per customer per year. These metrics underpin the commercial rationale that both companies are presenting to prospective distribution partners.
Cross-selling and market expansion
Beyond acquiring new distribution partners jointly, the agreement enables each company to cross-sell complementary products to the other's existing partner base. Germany serves as the initial focus market, with both parties stating a clear intention to extend the collaboration into additional territories over time.
The partnership reflects a broader trend in financial services towards Embedded Finance, integrating non-core products such as insurance and loyalty programmes directly into banking and retail platforms. For retail banks specifically, this model offers a mechanism to differentiate current account offerings and generate subscription-based revenue without requiring significant product development investment.
bolttech's EMEA operations and Mehrwerk's European network of over 350 employees across ten locations in nine countries position the partnership to scale the model to further markets as the collaboration matures.
