Plans to leverage digital services to change the way people feel about insurance and invest HK$500 million in InsurTech over the next five years
Hong Kong, 19 January 2017 — FWD Hong Kong today revealed its plans to invest HK$500 million in the development of proprietary InsurTech solutions, more than five times the investment in this area over the past three years. The company also showcased a suite of newly released applications and e-services designed to revolutionise the industry.
David Wong, Chief Executive Officer of FWD Hong Kong & Macau, said, “FWD has solidly established itself as a frontrunner for InsurTech with a focus on three core areas, namely mobile services, Internet of Things (IoT), and Big Data analytics. The company will invest about HK$500 million in the next five years in InsurTech to provide to its customers fun and exciting experiences, and to boost engagement by making our products and services more transparent, accessible, relevant, and problem solving in peoples’ daily lives.”
“FWD has also made great strides in insurance direct sales. Following the launch of iFWD (i.fwd.com.hk) in June 2015, our digital commerce platform, we have become the market leader in direct sales of life insurance products in Hong Kong (as of Q3 2016 in terms of new business APE). In accordance with our omni-channel distribution strategy, we will continuously grow our direct sales, a potential channel which today collectively accounts for 0.3% of the life insurance market in Hong Kong and is expected to grow to about 5% over the next few years,” added David.
For mobile services, FWD is tapping into the explosion in popularity of mobile wallets, to provide game-changing services that make insurance more easy and convenient to use. The company has formed a strategic partnership with HKT Payment Limited to integrate Tap & Go Payment Service with the iFWD platform. Customers can arrange instant cash withdrawal services from Savie Insurance Plan and Provie Insurance Plan policies through the iFWD platform to their Tap & Go accounts. In addition, customers can settle payment for selected insurance on the iFWD platform with Tap & Go via designated smartphones.
Adrian Leung, Head of Business Development, FWD Hong Kong, said, “Integrating Tap & Go with FWD’s digital commerce platform is the first step in our plans to offer our customers a more diverse variety of convenient, efficient and paperless payment and withdrawal options. We will be introducing more powerful and popular mobile wallet solutions to make insurance more accessible and easy to use.”
Another case in point, the free-of-charge FWD Drivamatics mobile application, successfully launched in October 2016, is a compelling example of how the IoT can have a significant, positive impact on our lives. By tracking a driver’s driving behaviour, the application allows FWD to better assess risks, and in turn reward and encourage safer driving habits by providing up to 30% of premium cash rebates and exciting merchant offers to its MotorSmart Insurance customers.
Paul Tse, Chief Marketing Officer of FWD Hong Kong & Macau revealed, “In only a few months of existence, the FWD Drivamatics app has already delivered a set of inspiring data. Some of the application’s interesting findings include driving scores appeared to be lower on Wednesdays and Sundays than other days in a week, and the different driving patterns during weekdays and weekends. These data would be very useful for us to tailor make flexible insurance options and incentives, and merchant offers for customers of different lifestyles and habits.”
As for Big Data analytics, FWD has already been leveraging such tools to better respond to its customers’ needs, circumstances, and personal preferences. Taking advantage of technology allows FWD to connect with broader segments of customers and to offer products and services that are both suitable and highly personalised. Big Data, together with mobile services, also help to simplify and shorten the claim process. In the coming years, FWD will keep on investing in modern analytical tools to bring about a whole new level of convenience for its customers.
“We are looking at multiple strategic partnerships with different industries with the objective to create innovative products and services to enhance the customer journey of our common customers,” disclosed David.