PolicyPal is one of the first FinTech companies that is selling insurance online. The term FinTech stands for Financial Technology. Companies are described as FinTech or InsureTech companies (Insurance Technology), when they use new technologies to improve existing processes. For example, instead of selling insurance through an agent, companies use the internet or mobile applications to sell insurance.
PolicyPal announced in their recent blog articles that they have received approval form the Monetary Authority of Singapore (MAS) to sell insurance directly to the consumers. The first policy that they can sell are are from NTUC Income and Etiqa. The products are:
- Life insurance
- Term Life Insurance
- Personal Mobility Insurance
- Mosquito Insurance
This is a great step for them, because they . ….
This is also a great threat to insurance agents, because with the Singaporean Authority allowing PolicyPal to sell directly to customers, insurance agents lose more customers. In Malaysia, we are already seeing that FinTech companies are changing the Malaysian Insurance Market. Here are only a few companies that are already out there:
House of Insurance
iBanding itself is an InsureTech company. Our focus is on providing a platform to help customers to connect with best in class insurance agents. We are unique to the above, because we provide customers who still .
Motor De-tariffication will speed up the changes in the market
Many people compare the change in the insurance market with the changes that happen to Travel Agency in Malaysia. In the old times you would go to a travel agency to buy your flight ticket. Today, you can go online an book your flight directly from the airlines like Airasia or use comparison websites to find the cheapest flight.
This will also happen in Malaysia. Especially motor insurance will see big changes coming with the De-tariffication in the middle of the year. Motor De-tariffication will make it more difficult for agents to provide customers with the best insurance.
Agents are still important for Malaysian consumers
Buying insurance will become easier in Malaysia and this is good. However, be careful when you buy insurance on your own direct. You need to know what to do when you have an accident or need to make a claim. This is when insurance agents are most needed and where you rely on your agent to help you to gather all the needed