MTL sets up online insurance comparison
Muang Thai Life Assurance Plc (MTL) is tapping the online insurance broker market through Gettgo, a subsidiary that is licensed to provide online insurance comparison services.
The group’s digital channel helps customers compare life and non-life products, as well as promotions offered by various insurance companies, before making a decision.
The company will start offering auto insurance comparison services online and through social media. A similar product for health insurance will follow this year.
“It is not easy for a 66-year-old company, but we must embrace disruption and seek opportunities before being disrupted by others,” said president and chief executive Sara Lamsam.
The company recognises it has competition in the insurance field, he said.
“We also have many projects in the regulatory sandbox, and will be the first insurance firm to launch such a comparison service,” Mr Sara said.
The project, which is under development in the sandbox, will focus on niche segments with a positive attitude towards insurance. For these consumers insurance will be a “pull” product, said Ruthai Suttikukpanich, vice-president of the innovation centre.
The project will serve the “PaUL” or Pay as You Live concept, which is based on the notion that people in the same age and salary categories can have vastly different lifestyles, she said.
“The insurance industry will face a challenge in the next 3-4 years, driven by the growth of younger demographics’ purchasing power, urbanisation, an ageing society, digital, new regulations, and changing consumer behaviour. People are no longer attracted to generic experiences,” Mr Sara said.
This year, MTL targets to grow above its 2017 rate, and above the industry’s average.
Last year, the company crossed the 100-billion-baht milestone in premiums for the first time, with a total of 102.68 billion baht in premiums. The firm is the industry’s second-largest player.
First-year premiums for 2017 totalled 31.07 billion baht (the top in the industry), and renewal insurance premiums totalled 71.62 billion baht.
“The operating result in 2017 was higher than that of 2016, when the company posted an 8.3 billion baht profit,” Mr Sara said.
MTL’s assets also grew by 18% from the previous year to more than 400 billion baht. Its capital adequacy ratio stands at 400%, he said.
MTL is seeking partners in Myanmar, where it has had a representative office for many years, and is studying opportunities in Indonesia, Malaysia and the Philippines.