The World Bank Group member, the International Finance Corporation (IFC), has made $7m in Series A investment in Roojai, an online car insurance platform in Thailand.
The aim is to improve consumers’ access to insurance in a transparent and cost-effective way.
With almost two thirds of Thailand’s population having access to the internet, more Thai consumers are participating in e-commerce and are active on social media platforms. However, with the market heavily reliant on face-to-face interactions with brokers or auto dealers, the use of digital channels to purchase insurance is still in its nascent stage.
Given the scenario, the Series A funds will allow Roojai to accelerate its investment in digital marketing and continue its efforts in developing policies with Krungthai Panich Insurance that reward safe behavior. It will further help the company develop technological systems that improve the quality of customer interactions and lower barriers to insurance access.
In less than three years of its operation, Roojai has reached over 30,000 auto insurance customers through a digital-first distribution strategy, gaining widespread industry recognition.
Roojai CEO/founder Nicolas Faquet said: “We are delighted to welcome IFC as one of our shareholders as we enter a new exciting phase of growth.
“We are proud that Roojai.com’s digital innovations are being recognized in terms of insurance that is simple and easy to buy. We aim to improve financial inclusion through accessible, cheaper, and essential cover for all responsible consumers.”
IFC Financial Institutions Group Global Director and Fintech Investment Committee member Paulo de Bolle said: “Thailand’s digital insurance channels have significant room for expansion, especially from digital-first players who can effectively implement the digital direct model by leveraging the latest technologies. Our partnership with Roojai is aligned with the government of Thailand’s initiative to support inclusive insurance through the Office of Insurance Commission’s visionary Insurtech initiative.”
IFC joins Primary Group—a privately-owned investment holding company with significant expertise in the global insurtech insurance sector—as a shareholder in Roojai. Through this investment, IFC will work with Roojai to further strengthen its corporate governance and support the company through its board nominee and IFC’s industry team.
Primary Group chief operating officer Steve Hardy said: “We look forward to working alongside IFC to support Roojai in its quest to disrupt the insurance market in Thailand and ensure that consumers get better access to cheaper protection.”
IFC has been one of the leading global investors in the insurance sector in emerging markets for many years. Since 2000, IFC has invested in forty-two insurance companies with total investments close to US$2.0 Billion invested. IFC’s insurance portfolio includes a full range of sub-sectors, such as reinsurance, life, non-life, microinsurance and Insurtech.
Source: Company Press Release