By Gabriel Budi Sutrisno | TechinAsia | November 3, 2023
Shinhan EZ General Insurance, a subsidiary of South Korean conglomerate Shinhan Financial Group, has entered the Indonesian market through a tie-up with PasarPolis‘ insurance sales platform Tap Insure.
Shinhan anticipates significant growth in Indonesia’s insurance industry given the currently low market penetration. Along with Thailand and Malaysia, Indonesia is expected to play a crucial role in the overall premiums underwritten in Southeast Asia.
Since its establishment in 2015, PasarPolis has recorded over one billion policies. Meanwhile, Tap Insure said its risk-based capital ratio – the level of risk associated with an insurance company’s assets – stands at 7,000%, way above the required minimum of 120%.
Shinhan will bring its expertise in microinsurance and non-life insurance product development to the partnership, which will initially focus on auto insurance.
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The Korean company will also be able to access PasarPolis’ full-stack insurance ecosystem in Indonesia. The latter won a license from Indonesia’s Financial Services Authority to offer insurance underwriting services – the first in the country to do so.
“Our decision to partner stems from Tap Insure’s vision to transform the insurance landscape in Indonesia and Southeast Asia through the development of digitally native insurance products from start to finish,” said Byoung-kwan Kang, CEO of Shinhan EZ General Insurance.