With its 700,000 customers, Alan could be regarded as a mature company. But the health insurance company that wants to become a digital companion for your health is still developing as a start.
On Wednesday, the company shared some financial measurements. The most impressive are his revenue at the top. In 2024, the company generated revenue of € 505 million (about $ 525 in today’s exchange rate).
But Alan’s comparison with a regular technical start can be difficult as startup is an insurance company. It offers a health insurance product complemented by the national healthcare system in France, Spain, Belgium and soon Canada.
“The model remains the same: We are aiming for a ratio of claims for intentions, with a 12% to 14% participation fee,” said co-founder and chief executive of Alan Jean-Charles Samuelian-Werve at a press conference. In other words, the overwhelming majority of Alan’s revenue could be considered as premiums, with Alan receiving a 12 to 14% reduction for additional services and management fees.
If you want to compare Alan with a software-as-sergeant company, a small calculation of back-of-the-envelope will rank Alan as a starting with € 60 to 70 million in annual repetitive revenue ($ 62 million to $ 73 million).
However, starting – worth $ 4.5 billion – still loses money. In 2024, Alan recorded net loss of € 54 million compared to € 59 million in 2023 ($ 56 million and $ 61 million respectively).
“We are confirming the goal we announced last year to achieve profitability by 2026,” said Alan Mihala Albu’s chief financial director.
While the company does not convert the profit yet, the good news is that its distribution strategy is well escalating. Alan’s team increased by only 8% in 2024 and the sales team is more or less stable.
In France, the company won offers for government workers. In Belgium, he signed a strategic partnership with Belfio, the second largest bank and the country’s insurance company. Belfius is now an investor in Alan and is going to distribute Alan’s products to his customers.
Health Insurance Market Disorder with AI
Like last year, artificial intelligence came quite often during a press conference. Ludovic Baupplé, head of Alan’s revenue, said the sales team has increased its results by about 50% thanks to the use of artificial intelligence in the sales process.
“Functionally, we were able to reduce the cost of customer service. On the product side, we have accelerated the production of code and how we do units testing,” Samuelian-Werve said. “In marketing, it’s really amazing how much we speed up the production of assets and videos, reducing costs, dramatically increasing quality and performance.”
Alan then plans to increase total revenue by 40% in 2025 compared to 2024. It should be treated without manual entry by the end of the year.
The company also used Wednesday’s press conference as an opportunity to announce its health insurance bids for retirees in France. According to the company, there are 750,000 new retirees in France every year. This will help when it comes to growth.
