Insurtech weekly: Didi Chuxing, AIG, Democrance, Dinghy, Kingsbridge Group, Bowtie

Published in: Risk, Risk management, Corporate strategy, UK, ROW, Software - IT

Companies: Didi Chuxing, AIG, Democrance, Dinghy, Kingsbridge Group, Bowtie

Chinese ride-hailing platform launches app-based insurance

Who's involved?  Didi Chuxing, a Chinese ride-sharing operator that offers app-based options for taxi hailing and bike sharing

What's happening?   Didi Chuxing is offering mutual protection and crowdfunding products for passengers and drivers who use its platform. The products include critical illness insurance, wealth management, credit and lending and auto-financing services

Significance of deal: Didi Chuxing has said its critical illness insurance offering will lower theentry barrier for gig economy workers and broaden protection for more families in an era of flexible employment

Timeline: The company set up its financial services unit last year. Prior to the nationwide launch, the in-app services were trialled in 10 Chinese cities including Chongqing, Zhengzhou and Foshan

 

AIG MEA partners with Democrance

Who's involved?   Democrance, an insurtech firm specialising in mobile phone-based insurance, and AIG Middle East and Africa

What's happening?    Democrance will support AIG MEA in digitising its operations in the UAE, Kuwait, Egypt, Lebanon, Bahrain, Jordan and Oman. This will be done by integrating Democrance’s mobile and digital channels into AIG MEA

Significance of deal:  Democrance’s platform is capable of servicing millions of customers and reducing administrative costs of insurance products. It will make AIG’s current distribution, administration and operation processes more efficient, it is claimed

Timeline: The partnership has started with immediate effect

 

Kingsbridge Group acquires insurtech Dinghy

Who's involved: Kingsbridge Group,a UK insurance provider for contractors and freelance professionals, and Dinghy, which provides on-demand professional indemnity cover for freelancers

What's happening?  The acquisition of Dinghy (for an undisclosed sum) follows Kingsbridge’s acquisition last year of Larsen Howie, a specialist online provider of insurance and IR35 and tax-related products and services 

Significance of deal:  The acquisition of Dinghy and Larsen Howie further accelerates Kingsbridge’s strategy of broadening its distribution, products and services to take advantage of the long-term shift in the workforce patterns towards more flexible and part-time working

Timeline: With immediate effect

 

Bowtie wins Hong Kong’s first virtual insurer licence

Who's involved: Bowtie Life Insurance Company(Bowtie) and Hong Kong’s Insurance Authority

What's happening?  Bowtie, which is backed with HK$234m ($30m) raised in its Series A round from Sun Life Hong Kong, has been granted the first virtual insurance company licence by Hong Kong’s Insurance Authority under its fast track pilot scheme

Significance of deal: Bowtie is set to offer insurance protection directly to customers, without any insurance intermediaries. The insurtech’s co-founder Michael Chan said consumers in Hong Kong want to sign up for health insurance online, but the industry has not fully embraced digital technology

Timeline:  It is expected that health insurance products will be available on Bowtie’s digital platform during the first half of 2019 when Hong Kong’s Voluntary Health Insurance Scheme (VHIS) begins accepting customer applications

Ronan McCaughey