Gigacover, a Singapore-based insurtech company, marked its first year of operations in the Philippines with a 35 % month-on-month growth in revenues coming from its services and digital insurance & healthcare products powered by its insurer and healthcare partners. Positioned to establish leadership in the market, Gigacover is eyeing more partnerships across different industries to offer 360 protection for Filipino workers and businesses.
“Despite increased awareness on insurance due to the impact of COVID-19, the current penetration rate in the country remains significantly low at about 2%. While more Filipinos are now educated about the need for protection, this also shows us that accessibility is still a gap that needs to be addressed,” shared Amerson Lin, CEO and co-founder of Gigacover. “As we cement our leadership and diversify our services in the market, we will continue working with our partners to make insurance more accessible.”
“Week on week, we receive inquiries mainly from the Informal sector seeking more information about their policies particularly the specific cases such policies cover. Conversations from our members have shown a higher level of financial maturity and literacy,” said Chesca Figueroa, Acting Country Manager of Gigacover in the Philippines. “With the improvement of financial literacy, our next focus is to improve accessibility to these products and drive more inclusive and user-centric products and services.”
The significant growth in the Philippines was driven by innovative products that addressed new market challenges in the country. In partnership with Etiqa Philippines, Gigacover introduced the Freelancer Earnings Protection (FLEP), the first income protection for freelancers in the market and Southeast Asia, in response to the rise of gig economy, and the comprehensive Employee Benefits plan for organizations looking for competitively-priced healthcare benefits packages for their formal and informal workforce.
“As Etiqa PH aims to become a leading insurtech player, our partnership with Gigacover gives us the ability to expand our accessibility to our customers. With our shared values and focus on technology, we can help more Filipinos achieve their goal toward financial security,” shared Rico Bautista, President & CEO.
Gigacover also leveraged on the strong momentum of e-commerce growth in the country, beginning with a Parcel Insurance that provides affordable coverage for a wide-range of parcel types with digital claims processing. According to Lin, the company aims to further lay its claim in this sector by eyeing partnerships with more delivery service providers.
“Despite the opening of the economy earlier this year, Filipinos continue to rely on e-commerce which signals that the sector is here to stay even after the pandemic,” shared Lin. “We aim to grow alongside this sector by helping shape the logistics industry behind it towards a sustainable and inclusive ecosystem where businesses, workers, and consumers are protected through tailored and cost-effective digital insurance products.”
The insurtech firm already has existing partnerships with logistics platforms such as Angkas, QuadX and Pick-A-Roo, protecting over 15,000 riders to date.
The Department of Trade and Industry (DTI) forecasted e-commerce could potentially reach Php 1.2 trillion or 11.4% of GDP by 2022 and Php 14.3 trillion or USD 285 billion by 2030.