Digital company Pie Insurance has begun selling its lower-priced small business workers’ compensation insurance policies online in Louisiana, as well as Colorado and Texas.

Pie markets itself by its ease of use and its claim that up to 80 percent of small businesses overpay for workers’ comp.

Jeff Albright, Chief Executive Officer of the Independent Insurance Agents & Brokers of Louisiana expressed skepticism that Pie can offer more competitive pricing in Louisiana compared to the traditional market.

That figure comes from the company’s Pie Price Predictor, powered by Valen Analytics, a data analytics company powered by Insurity Inc., and Pie co-founder and CEO John Swigart has made no secret of his distaste for traditional models.

According to a public information officer with the Louisiana Department of Insurance, “An entity with the name ‘Pie Insurance Services’ was licensed in Louisiana as a non-resident producer on March 8th, 2018. As a non-resident producer, the license was issued on a reciprocal basis due to licensure in the resident state of Colorado. The application was approved the same day as submitted. The entity is licensed, but has no current appointments with insurers.”

Insurance offered by Pie is supported by Sirius Group, which has earned an A rating from A.M Best.

The main threat that insurtechs like Pie pose to agents is its direct writing and streamlining, but Albright is waiting to see how it plays out in practice.