When Alex Matjanec looked at the life insurance industry, he saw a system that was failing millions of Americans. Traditional policies can be complex, time-consuming, and often out of reach for those who need them most. That’s when he had an idea that would shake up the century-old industry: embedded life insurance.
“I realized there was a massive gap in the market,” Matjanec recalls. “30% of Americans say they need life insurance but don’t have it, with cost being the primary barrier. I knew there had to be a better way.”
This realization led Matjanec to found Wysh, a New York City-based insurtech startup that’s redefining how Americans access life insurance. Wysh’s flagship product, Life Benefit, seamlessly embeds micro-life insurance coverage into existing bank accounts, providing up to 20% of the account balance as a death benefit.
“Our mission with Life Benefit was to create a low barrier to entry format to get more Americans in the door with at least basic coverage,” Matjanec explains. “It’s as simple as opening a savings account.”
The innovation lies in its simplicity and accessibility. There’s no opt-in required, no underwriting process, and no additional fees. Account holders automatically receive this benefit, which grows as their balance increases, up to $20,000.
This approach is not only revolutionizing access to life insurance but also providing a compelling value proposition for banks and credit unions. “When Life Benefit is plugged into a bank’s services, it can provide customers with up to $20,000 in no-cost life insurance,” Matjanec says. “It covers the basics, like funeral costs, giving people a baseline of protection.”
The market response has been overwhelming. According to Wysh’s surveys, up to 82% of respondents said they’d choose an account with Life Benefit over a slightly higher interest rate-only account. This has made Life Benefit an attractive offering for financial institutions looking to differentiate themselves in a crowded marketplace.
But Matjanec’s vision extends beyond Wysh. Recognizing the broader implications of financial inclusion, he became a founding partner of the National Alliance for Financial Literacy and Inclusion (NAFLI), a non-profit organization dedicated to improving financial literacy and access to financial products.
“Through NAFLI, we’re able to address the systemic issues that lead to financial exclusion,” Matjanec explains. “It’s not just about providing life insurance; it’s about educating people on its importance and making it accessible to everyone, regardless of their income level or background.”
NAFLI’s initiatives include partnering with Minority Deposit Institutions (MDIs) to offer grants and support for implementing embedded insurance products like Life Benefit. This approach not only helps these institutions attract and retain customers but also promotes financial inclusion in underserved communities.
“We’re seeing a paradigm shift in how financial products are offered and consumed,” Matjanec notes. “The future of financial services lies in embedded, user-friendly products that meet people where they are.”
As Wysh continues to grow and NAFLI expands its reach, Matjanec remains focused on his ultimate goal: closing the life insurance gap in America. “Every family deserves financial protection,” he says. “With embedded life insurance, we can make that a reality for millions of Americans who were previously left out of the system.”
From recognizing the gap in the market to founding a disruptive start-up and non-profit, Matjanec’s journey stands out for the power of innovative thinking in solving standing problems. As embedded life insurance continues to gain momentum, his vision is not only impacting an industry, but also countless lives.
Ready to explore how embedded life insurance can transform your business and community? Schedule a meeting with Alex Matjanec and his team today to learn how Wysh is driving innovation and making financial protection more accessible.
Spencer Hulse is the Editorial Director at Grit Daily. He is responsible for overseeing other editors and writers, day-to-day operations, and covering breaking news.
