TUNE INSURANCE BOOSTED BY ONLINE SALES, REGIONAL ROLLOUT
Source: Borneo Post Online, 21 November 2013
Tune Insurance Holdings Bhd ( Tune Insurance) experienced strong growth for the third quarter of 2013 (3Q13), boosted by online sales and the rollout of its regional coverage. RHB Research Institute Sdn Bhd (RHB Research) noted at Tune Insurance’s 3Q13 results briefing that chief executive officer Peter Miller expressed satisfaction with the growth of the group’s businesses, although he felt that much more needed to be done to achieve its long-term targets. Tune Insurance rolled out its travel insurance business to AirAsia Zest and Cebu Pacific passengers in June. The company noted that this market accounted for only three per cent of overall 3Q13 online sales or policy count. However, both carriers contributed more than 10 per cent of the 3Q13 passenger numbers vis-à-vis AirAsia’s other entities. On the whole, it feel that the Philippines’ travel insurance contribution has yet to make a full impact, and expect the take- up rate to increase in the upcoming quarters. The group’s local general insurance ( GI) subsidiary is experiencing its premium portfolio rebalancing bear fruit, the company believes it is set to spur top line growth without compromising margins. Tune Insurance’s motor portfolio, which has increased in proportion to 35 per cent from 1Q13’s 27 per cent low, is now deemed a lower risk compared with last year. It was noted that the proportion of comprehensive motor coverage was retained at 99 per cent, while the remaining one per cent comprises third-party coverage against 16 per cent seen a year ago. Meanwhile, commercial vehicle coverage now represented 15 per cent of its motor portfolio mix, up on increasing motor franchise relationships with vehicle makers like Hyundai, Ford and Land Rover.