Grab Financial Group (GFG), Grab’s fintech subsidiary, has announced that it has cumulatively sold more than 100 million insurance policies across Southeast Asia since the service was launched less than two years ago.
Since GFG launched its consumer insurance business last year, it has seen strong growth across the region and is now one of the largest digital insurance distributors in Southeast Asia for its insurance partner Chubb.
This milestone shows how embedded finances work within the Grab’s ecosystem. For example, consumers can choose and buy Micro Insurance Ride Cover at a price of $ 0.30, at the time they book a Grab ride.
Growing digital financial services packages
GFG has been launched in the last six months more consumer financial services products, such as microinvestments, third-party loans, and products that are purchased and paid for later.
This includes the first micro investment solution, AutoInvest – offers GrabInvest – a solution that allows users to invest small amounts of money by spending in Grab’s ecosystem.
GFG has also expanded its lending to small and medium-sized enterprises (SMEs) in four countries to support its food and payment traders with working capital loans.
At a time when healthcare is a top priority, he launched GFG Hospital cash coverage, a consumer product for hospitalization in Indonesia. It was launched last month Community Cover, another product for critical illness.
More recently, the Monetary Authority of Singapore (MAS) granted a full digital banking license the Grab-Singtel consortium.
According to Reuben Lai, senior CEO of GFG, Grab’s goal is to “encourage financial inclusion by introducing the most comprehensive package of financial services into the daily lives of users, making them accessible, convenient and transparent.”
For example, it unbundled banking and made it ala carte through fractionalized microproducts, embedding financing in the Grab services that people use on a daily basis, such as mobility and delivery.
Financial services are a new, long-term opportunity for Grab, especially since more than six out of 10 consumers in the region are non-banking or sub-banking.
GFG is part of Grab’s ambition to be a great app in the region. In addition to financial services, the company also provides transportation, delivery and attraction services as well as hotel reservation services.
Currently the first “ten” in the region has 187 million users in the app since June 2020. It is present in seven markets and has a market share of 11.4 percent in Southeast Asia.
Credit for featured paintings: Grab