Hiscox acquires singapore motor insurance firm DirectAsia
March 3, 2014 10:50 am
Hiscox, the specialist insurance firm today announced the acquisition of Asian online motor insurance provider DirectAsia. In a deal valued at $55Million Hiscox will attempt to broaden its reach and take a short cut to markets in Asia. The group plans to invest significantly in DirectAsia in a bid to build its business and start selling Hiscox products via the platform.
DirectAsia was founded in Singapore in 2010 and launched into Hong Kong in 2012 and Thailand in 2013. Its primary business is motor, one of the few non-discretionary insurances in Asia, with ancillary lines in travel, personal accident, healthcare and life. DirectAsia has a strong business model, operates in markets where agent based channels with high distribution costs predominate, and uses market leading rating mechanisms. It has over 54,000 customers, employs 140 people across the three locations in which it operates and in 2013 had gross written premiums of USD25.3 million.
Bronek Masojada, Hiscox CEO, commented: “DirectAsia is a challenger brand with real potential. It gives Hiscox a 21st century distribution platform in Asia that leapfrogs traditional routes to market. DirectAsia complements our direct-to-consumer businesses in Europe and the US, and in time, we will use it to distribute Hiscox products.”
Anthony Hobrow, CEO Whittington Group, said: “We have developed a successful entrepreneurial business, taking on the global giants with traditional distribution models. We are very pleased that we have been able to pass this unique platform to Hiscox who can supply expertise, capital and a strong customer focussed culture to help us further develop and grow the business.”
Hiscox, the specialist insurance firm today announced the acquisition of Asian online motor insurance provider DirectAsia. In a deal valued at $55Million Hiscox will attempt to broaden its reach and take a short cut to markets in Asia. The group plans to invest significantly in DirectAsia in a bid to build its business and start selling Hiscox products via the platform.
DirectAsia was founded in Singapore in 2010 and launched into Hong Kong in 2012 and Thailand in 2013. Its primary business is motor, one of the few non-discretionary insurances in Asia, with ancillary lines in travel, personal accident, healthcare and life. DirectAsia has a strong business model, operates in markets where agent based channels with high distribution costs predominate, and uses market leading rating mechanisms. It has over 54,000 customers, employs 140 people across the three locations in which it operates and in 2013 had gross written premiums of USD25.3 million.
Bronek Masojada, Hiscox CEO, commented: “DirectAsia is a challenger brand with real potential. It gives Hiscox a 21st century distribution platform in Asia that leapfrogs traditional routes to market. DirectAsia complements our direct-to-consumer businesses in Europe and the US, and in time, we will use it to distribute Hiscox products.”
Anthony Hobrow, CEO Whittington Group, said: “We have developed a successful entrepreneurial business, taking on the global giants with traditional distribution models. We are very pleased that we have been able to pass this unique platform to Hiscox who can supply expertise, capital and a strong customer focussed culture to help us further develop and grow the business.”