Insurtech expands Southeast Asian footprint with general insurer swoop

Insurtech expands Southeast Asian footprint with general insurer swoop | Insurance Business Asia

Insurance News

Insurtech expands Southeast Asian footprint with general insurer swoop

Company entered the Indonesian insurtech market in 2022

Insurance News

By
Roxanne Libatique

Insurtech Sunday Ins Holding has bolstered its footprint in Southeast Asia by finalising the acquisition of general insurer PT KSK Insurance Indonesia.

This strategic acquisition, approved by Indonesia’s financial regulatory authority, Otoritas Jasa Keuangan, positions Sunday as a prominent figure in the general insurance arena across Southeast Asia. With this deal, Sunday’s revenues have soared beyond the US$100 million mark.

The company had initially made its foray into the Indonesian market in 2022, operating as a certified insurtech entity and licensed brokerage.

Digital transformation in the Indonesian insurance industry

Sunday aims to spearhead the digital transformation of the insurance industry. Its deployment of artificial intelligence and machine learning technologies, coupled with a robust microservices framework, seeks to enhance the overall customer journey and service efficiency, the company said.

Acquisition of PT KSK

PT KSK, with its growth trajectory exceeding the industry average at about 35% annually in recent years, reported a gross premium of roughly US$40 million in 2023. The company’s expertise spans a broad spectrum of general insurance products, including vehicle, property, and cargo coverage, facilitated through an extensive network of leading agents and brokers in key Indonesian locales.

The acquisition, which saw Sunday taking a 99% share in PT KSK, is set to invigorate the personal insurance segment with a renewed emphasis on product innovation and alternative distribution mechanisms across the nation. This collaboration is anticipated to introduce an array of differentiated services, particularly in motor and health insurance, supported by AI and machine learning capabilities.

Cindy Kua, CEO and co-founder of Sunday, said the acquisition was a testament to the company’s dedication to the Indonesian market and its aspiration to ascend as a frontrunner in the regional insurtech domain.

“We are extremely excited about our growth prospects and digital collaboration with the licensed insurer. This partnership signifies our deep commitment in Indonesia and mission to be a leading insurtech group in this region. Our immediate focus will be to extend our product solutions to all our corporate clients, partners, agents, and brokers in our ecosystem to serve the growing middle income classes with better claim, lifestyle, and risk prevention services,” she said.