Tune Protect eyes expansion into lifestyle, insurtech sectors

Tune Protect’s expansion will enable the group to forge strategic tie-ups with underwriters from various potential countries, and unlock new revenue streams. (Facebook pic)

KUALA LUMPUR: Tune Protect Group Bhd seeks to expand its scope of business from pure reinsurance of travel business into other retail lifestyle lines of business, as well as offer its insurance technology (insurtech) internationally.

Group chief executive officer Khoo Ai Lin said this will enable Tune Protect to forge strategic tie-ups with underwriters from various potential countries, with sizeable retail bases and a common goal to grow affinity business leveraging digitisation.

“By focusing on our transformational pillars and leveraging insurtech, we shall go beyond airlines, beyond travel insurance and beyond conventional insurance.

“We will unlock new revenue streams from other sources of income, in addition to underwriting profits,” she told reporters after the company’s annual general meeting here today.

Khoo said the strategic transformation pillars, among others, will spur product innovation and differentiation; widen distribution and reach, and deliver exceptional customer experience.

She said Tune Protect will also focus on marketing insurtech solutions, primarily into the Indonesian, Indochinese and Middle Eastern markets.

In the first quarter of 2019 (1Q19), Tune Protect signed a memorandum of agreement (MoA) with PT Asuransi Buana Independent (ABI) and the Association of Indonesian Tours and Travel Agencies (ASITA) East Java.

This MoA gave Tune Protect the exclusive rights to provide digital travel protection for ASITA East Java.

With Indonesia being one of the world’s largest and most vibrant domestic markets, Tune Protect seeks to position itself as a leading digital insurer by securing strategic partnerships locally and providing travellers in Indonesia with better travel experiences.

Tune Protect is currently forming similar tie-ups with additional ASITA chapters in other parts of Indonesia, and targets to gain entry into Indochina after that.

Khoo said Tune Protect is en route to have an insurance strategic collaboration with a Vietnamese insurance company within this year.

It also aims to enhance its four business segments, namely global business, AirAsia ecosystem, insurtech capabilities and national business.

In the AirAsia ecosystem, positive results have been generated in the first quarter of this year from Tune Protect’s dynamic pricing initiative which went live in several key markets.

“In March this year, the dynamic pricing initiative provides an additional 4% to our topline from the Indonesian, Singaporean, Malaysian and Thai markets,” she said.

For national business, the group believes in equipping its sales force with the right products and tools, leveraging innovation and technology relevant to today’s digital society.

Khoo said Tune Protect strives to achieve 42 million policy holders by 2022, which translates into 14 million policies a year and currently has 28,000 policies a day.