Indonesia-based Rey Assurance launches its holistic method to insurance coverage with $1M in funding
Medical health insurance is the type of factor individuals often solely take into consideration solely once they want it. In any other case, their insurance policies are simply paperwork of their recordsdata or playing cards of their pockets. Indonesian insurtech Rey Assurance is taking a brand new method. As soon as somebody turns into a member, in addition they get entry to a platform of well being companies, together with AI-based self-assessment instruments, 24/7 telemedicine consultations for no added price and pharmacy deliveries. The startup is launching out of stealth at the moment, having already raised $1 million in pre-seed funding from the Trans-Pacific Expertise Fund (TPTF).
Rey was based this yr by Evan Tanotogono, former head of digital channel at Sequis, considered one of Indonesia largest insurers, and Bobby Siagian, who held lead engineering roles at firms together with Tokopedia and Sea Group. They’re joined by insurance coverage trade veteran David Nugrho as their chief enterprise officer.
They created Rey to deal with the low penetration of life and medical health insurance in Indonesia. “While you have a look at the foundation causes and ache factors, you’re looking at issues which might be systemic right here,” Tanotogono stated. These embody low consciousness, costly distribution channels like brokers and telemarketing, excessive premiums and complex insurance policies.
“Folks really feel just like the product is actually complicated, the method is tough and so they don’t get one of the best worth for the cash. It’s been that means for a lot of, a few years,” he instructed BadilHost. “We imagine that we can not simply go into the market and digitize a part of the worth chain.”
Plans begin from about $4 USD monthly and can be found for particular person or teams, like households, and small companies. Rey’s wellness ecosystem was created to present clients extra worth for his or her cash, and assist differentiate it from different firms in Indonesia’s rising insurtech trade. Another startups which have just lately raised funding embody Lifepal, PasarPolis and Qoala.
“Proper now, when you have a look at insurance coverage in Indonesia, if the premium is excessive, perhaps 80% or 90% of that’s used for the distribution channel. Now if we optimize one thing for digital distribution, then we are able to scale back the worth and use the remainder for the wellness options,” Tanotogono added.
TPTF managing companion Glenn Kline instructed BadilHost that Rey’s founding staff was “actually the driving force” for its funding. “We felt these individuals actually know the place the ache factors are and so they perceive clearly how to not attempt to change the legacy system, however create an entire new platform from the very starting, the place the core worth proposition is an built-in resolution that’s easy and hassle-free.”
As an alternative of doing the underwriting themselves, Rey works with insurance coverage companions to design proprietary insurance policies. The objective is to have an onboarding course of that’s utterly on-line and solely takes about 5 minutes, and a largely cashless declare and reimbursement system by means of Rey’s cost playing cards. If its cost card can’t be used at healthcare supplier, claims will be submitted by importing receipt images to the app.
Tanotogono stated that is a lot quicker than conventional insurance coverage suppliers, which might take as much as 14 working days to reimburse a declare, and made doable with Rey’s proprietary declare adjudication expertise.
Rey’s wellness ecosystem at present covers major care companies, together with chats and video calls with medical suppliers. Sooner or later, it plans so as to add specialists to the platforms.
Clients may also hyperlink their well being wearables for incentives. For instance, in the event that they hit sure step or exercise objectives, they get rewards like reductions or buying vouchers. Rey’s long-term plan is to hyperlink wearables extra deeply to its insurance coverage insurance policies, utilizing information to personalize insurance policies and premiums.