Hong Kong virtual insurer Bowtie has topped the ranks in direct sales to customers with no intermediary involved, with around one-third of market share in the channel.
Bowtie has insured a total amount of over HK$60 billion ($7.7 billion) from 90,000 customers in Hong Kong, according to a statement. The digital insurer more than doubled recurring revenue to HK$170 million in 2022.
«With a market share of over 30 percent in the direct sales channel, Bowtie has emerged as the preferred choice of one in three consumers who purchase insurance online,» said Bowtie co-founder and co-chief executive Fred Ngan.
«Also, Bowtie has once again ranked number one in the direct sales channel in terms of number of policies sold for two consecutive years, this accomplishment surpasses all banks and insurance companies.»
Growth Outlook
According to Ngan, there is ample upside for growth in direct sales which accounted for 8.5 percent of total sales in 2022.
«With changing consumer channel preferences and increasing health awareness, we firmly believe that Hong Kong's online application rate has room to further grow to 30 percent, catching up with other developed insurance markets, and becoming the mainstream channel for the next generation,» he said.
Bowtie was launched in 2019 as Hong Kong’s first virtual insurer approved by regulators with backers that include Sun Life Financial and Mitsui & Co. One of the most notable figures in Bowtie is senior advisor and ex-Hong Kong financial secretary, John Tsang, who has been widely featured in the firm's advertisements.
