PolicyPal to be first digitised direct insurance broker

SINGAPORE— Consumers will soon have the option to log into an online platform, upload their insurance coverage, and have a personalised insurance portfolio prepared. All this will be made possible through digitised insurance services which use automated, algorithm-based tools. Services are provided online or via the PolicyPal mobile application with limited or no human interaction with clients.

From Friday (Sep 1), homegrown start-up PolicyPal will start operations as a registered direct insurance broker and exempt financial adviser under its subsidiary BaoXianBaoBao. PolicyPal is a mobile app which allows users to understand, track their existing insurance and buy new policies. Based on the information provided by the user, the app will build a digital folder of the user’s insurance coverage. 

Users can upload their existing policies to understand their insurance coverage summary and chat with a robo-adviser to find out more about their insurance portfolio through the in-app needs analysis. They can research available policies with a range of insurance providers – including AIG, Aviva, Axa, Etiqa and NTUC Income – and purchase insurance policies through the mobile application.

The company, which is under the incubation of payment system provider PayPal, will use artificial intelligence and data algorithms to simplify insurance coverage. PolicyPal will focus on scaling their product offerings to individuals and small and medium-sized enterprises aimed at helping them analyse, manage and ultimately optimise their insurance portfolio. 

PolicyPal is the first start-up to graduate from the MAS FinTech regulatory sandbox, having entered the sandbox in March 2017. The six-month sandbox trial allowed PolicyPal to test the technology and validate their distribution model in Singapore. 

Ms Val Ji-hsuan Yap, CEO and founder of PolicyPal, said, “The MAS sandbox allowed us to experiment with technology applications and our product offerings in order to fulfil our vision of making insurance simple and convenient for all.” 

“Today’s rapidly evolving FinTech landscape requires a responsive and forward-looking regulatory approach to enable aspiring companies to deliver innovative financial services and products that can benefit both consumers and inspire the broader industry. We are glad that the sandbox has helped PolicyPal jumpstart their journey through live experimentation, and look forward to enabling more FinTech innovations that can enhance value and improve people’s lives,” said Mr Sopnendu Mohanty, chief FinTech officer, MAS.

The company’s regional expansion strategy includes scaling its existing platform and operations beyond Singapore to include Japan, Taiwan, Indonesia and Thailand.