Singapore-based Axinan: First Southeast Asian Insurtech Company to be Licensed by Labuan Financial Services Authority
Axinan, Singapore-based insurtech firm secures a combined General and Reinsurance license from Labuan Financial Services Authority.
August 21, 2019
Singapore, 21 August 2019 – Axinan, a Singapore-based insurtech firm, is the first successful Southeast Asian insurtech company to secure a combined General and Reinsurance license, issued by Labuan Financial Services Authority (Labuan FSA). Labuan FSA is the financial regulator for Labuan International Business and Financial Centre, a statutory Regulator under the Ministry of Finance, Malaysia. The license was obtained through Axinan’s subsidiary, Axinan Labuan Limited, accrediting it as a licensed General Insurer and Reinsurer under the Labuan Financial Services & Securities Act 2010.
Commenting on the certification, Wei Zhu, Founder and CEO, Axinan said, “We are proud to be the first Southeast Asia insurtech company to be certified by Labuan FSA. Being a first-mover in Southeast Asia’s insurtech industry providing solutions for customers and enterprises, we are actively looking to forge strategic partnerships that can strengthen our offerings within the markets we operate in. With the combined General and Reinsurance license, Axinan can provide a greater variety of insurance products better suited to meet the needs of the digital economy while providing additional value to existing customers.”
As of August 2019, there are 197 Labuan insurance and insurance-related companies including large global insurance players. As one of the pioneers of Southeast Asia’s insurtech industry, Axinan, using the license, can now underwrite general and reinsurance risks. The company would have greater ease underwriting new product lines and distribute insurance products through a fronting arrangement with local insurers, subject to the country’s regulatory requirements.
Farah Jaafar-Crossby, CEO of Labuan International Business and Financial Centre Inc (Labuan IBFC Inc), the market development arm of Labuan FSA, said, “Asia is undisputedly a key growth driver for the global insurance industry and insurtech’s role as an accelerator to this growth could not be timelier. We believe insurtech will lead to a more innovative, efficient and accessible insurance/reinsurance industry, the technology may even facilitate a platform to cultivate a more financially inclusive region via microinsurance. Licensing Axinan is one of Labuan IBFC’s first steps in embracing insurtech specifically and fintech generally. We warmly welcome Axinan to the fast-growing ranks of Labuan IBFC’s digital family.”
Arijit Chakraborty, Chief Insurance Officer, Axinan commented, “We bring value proposition to our clients and insurance partners by providing our full-stack tech capabilities including real-time dynamic pricing and automated claims processing. But now with this combined license we are better equipped to underwrite insurance and reinsurance risks and reach out to a wider client base subject to regulatory requirements.”
Axinan specialises in leveraging big data, actuarial risk management and machine-learning processes to developing solutions for enterprises. Since its inception in 2016, the company, headquartered in Singapore, has operations in Australia, Hong Kong, Indonesia, Malaysia, the Philippines, Singapore, Thailand, with development offices in China and Taiwan. This year marked the launch of Axinan’s first direct-to-consumer offering, igloo – catering a wide range of digital insurance solutions to Southeast Asia’s millennials.