Third virtual insurer granted new authorization under Fast Track
15 April 2020
The Insurance Authority (IA) today (15 April 2020) granted authorization under Fast Track to the third virtual insurer, a technology start-up with proprietary systems that automate the entire production cycle from customer on-boarding to claims settlement. Given its group structure and strategy, a twin focus will be placed upon technology innovation and insurance services.
This newcomer will start off with pet insurance, followed progressively by health insurance, and then cyber insurance for small and medium firms. Emphasis will be placed upon partnership and ecosystem to cultivate synergies with other parties along the value chain thereby generating better business prospects, improved customer satisfaction and broader financial inclusion.
“With three virtual insurers, two in the general sector and one in the long term sector, we are witnessing greater vitality and wider diversity in the Insurtech domain,” said Mr Clement Cheung, Chief Executive Officer of the IA. “The recent COVID-19 outbreak has helped demonstrate how we can leverage technology to help cope with operational challenges.”
Fast Track was launched by the IA in September 2017 to provide a dedicated queue for firms seeking to enter the insurance market in Hong Kong using solely digital distribution channels. Applicants seeking authorization through this channel must possess an innovative and robust business model, while satisfying all the prevailing regulatory requirements on solvency, capital and local asset requirements.