Asia microinsurance

The World Bank data shows that globally, 3.9 billion people are earning less than US$4 a day; this is more than half of the world’s population that would benefit from access to microinsurance.

People on low incomes are more vulnerable to the effects of natural perils, road accidents, illness and injury. Microinsurance offers protection for these people in emerging markets, with simple processes and affordable, easy to understand products. The World Bank data shows that globally, 3.9 billion people are earning less than US$4 a day; this is more than half of the world’s population that would benefit from access to microinsurance.

In keeping with our commitment to improving insurance accessibility and affordability in Asia, IAG provides a range of microinsurance products tailored to our markets in Thailand, Vietnam and India. Our experience tells us that for products to be profitable and sustainable the customer experience needs to be convenient, with claims easily managed and paid.

Products offered through our Bancassurance and Agent channels include personal accident, home fire protection, motorbike total loss and theft, surgery and hospital cash and critical illness. To date we have sold more than 17.7 million policies ranging from a cost of A$0.70 to A$4.90.

The next stage for our Asia microinsurance market is to extend the distribution network to other channels and launch in Indonesia.