Asia: InsurTech demand in the region likely to attract further investment in 2024
Source: Asia Insurance Review | Jan 2024
A number of Asian jurisdictions, including China, have been rolling out policy initiatives to promote the digital transformation of financial services. And in the short term, the rate of growth is likely to be higher in Southeast Asia, said Clyde & Co partner Joyce Chan, who operates from Hong Kong.
In a report titled ‘Asian InsurTech investment set to rebound in 2024’ posted on the firm’s website, Ms Chan said, “As such, appetite from the region’s tech-savvy population for InsurTech-driven products is likely to attract further investment into this space in 2024.”
For example, InsurTech in Singapore is becoming more vibrant, attracting the most investment of all Asian markets in the first half of 2023, and this is expected to continue into next year.
InsurTech business in Thailand also remains buoyant, alongside other Southeast Asian countries such as Indonesia. While Thailand in particular has seen continued investment from local players, Southeast Asia as a whole has also attracted investment from multinational insurers, particularly for InsurTech solutions related to personal lines business.
There is also optimism that inward investment into the insurance sectors in mainland China and Hong Kong will rise steadily in the next year.
Despite this, the global environment for InsurTech investment could remain challenging for some start-ups. A