THAILAND-based digital insurance platform Sunday has raised US$10 million in Series A funding (see amendment note) led by Vertex Ventures Southeast Asia and India, to expand its data team and conduct research and development.
The 1.5-year-old startup runs an online platform offering non-life insurance products in Thailand, ranging from flight delay coverage to auto and health insurance.
It aims to differentiate itself from existing insurance marketplaces by offering customisable products through an artificial intelligence-driven risk-prediction model.
Sunday also offers employee health benefits and real-time claims management solutions targeting small and medium enterprises.
It said that one of its investors is an insurance group which provides the startup “exclusive use” of its insurance license. Sunday declined to name the insurer. It did not respond directly to queries from The Business Times on what the licence is used for, but said that the insurer shares its “vision and strategy”.
Sunday also declined to disclose the number of customers it has.
The startup kicked off in Thailand given the gaps in the local insurance industry, alongside the availability of tech talent, said co-founder and CEO Cindy Kua.
“We felt that piloting and testing our business model in Thailand makes sense since this market is one of the most fragmented when it comes to insurance. If our business model works in Thailand, we are confident it will work for other Asian markets,” she said.
Sunday hopes to expand to key South-east Asian markets, including Singapore, Malaysia and Indonesia.
The startup’s integrated platform could change how insurance pricing and claims payouts are done, said Chua Kee Lock, managing partner of Vertex Ventures Southeast Asia and India, in a media statement.
“If e-commerce can provide dynamic pricing, then a digital insurer like Sunday can provide personalized premium pricing depending on insights into consumers’ behaviour and needs.
“As part of the insurance journey revolves around claims experience, Sunday’s integrated technology platform will enable a more seamless claims experience, where payout will be carried out efficiently,” he said.
Amendment note: An earlier version of this article incorrectly stated that Sunday raised seed funding. It is in fact Series A funding. The article above has been revised to reflect this.