Takeover puts Tune Insurance on rapid growth
By Lidiana Rosli
KUALA LUMPUR: Tune Insurance Malaysia Bhd's business has grown rapidly since it was acquired by Tune Ins Holdings Bhd in May last year, says chief exceutive officer Danie Su Tieng Teck.
"Before Tune Ins stepped into the picture and our subsequent partnership with AirAsia Bhd, this company was up for sale and it was difficult to retain good staff, attract new talent and grow the business," he told Business Times recently.
"However, since the acquisition and within 12 months, we saw an increase of 40 per cent in our top line as well as 10 per cent underwriting profits for 2012. Prior to the acquisition, we never had any underwriting profits."
The acquisition of Oriental Capital Assurance (OCA) and subsequent rebranding to Tune Insurance and integration into the Tune family has been all about leveraging on the strengths in OCA, including good staff, agents and customers, eliminating weaknesses and adding agents, processes, products and technology.
Su said that the AirAsia partnership has also helped pave the way for new simple products to be distributed through digital marketing.
"We have around 250,000 new policyholders every month, consisting of AirAsia customers who opted for the travel insurance provided by us and that database is growing even as we speak, so why not tap into that?"
As such, Tune Insurance is looking to launch new simple products, to be marketed digitally.
The company is also looking at opening five new branches within the next two years once it gains Bank Negara Malaysia's approval.
Publish date: 04/09/13