Bangkok Insurance targets 8% growth after record net profit last year

President and CEO Apisit Anantanatarat said that given the changes in the lifestyles of Thais, with more people being single and independent, caring for pets, and living in stressful environments, he saw a growing demand for insurance protection to cover those areas.

The move is a part of the company's 2024 business strategies and direction.

According to the Thai General Insurance Association, Thailand's insurance industry is expected to grow by 5-6% this year, owing to a recovery in tourism, which is driving up demand for car and travel insurance, raising concerns about health and well-being, besides an increase in electric vehicles to meet the global green trend.

Given that BKI's growth target is higher than the industry average, Apisit emphasised the importance of personalising the company's products and services.

"We will soon launch several new products this year," he told reporters. "For example, BKI intends to provide insurance to drivers aged 55 to 75. The premium may be high, but it covers all necessary expenses for the elderly. As the number of pet parents expands, we plan on offering our premium protection to their pets in the event of a road accident.”

Meanwhile, because of the increase in mental health problems, Apisit said that the BKI premium will now cover the cost of mental health treatment.

Also, as more people become aware of and comfortable with telemedicine, BKI will provide insurance products through its telemedical platform services that cover 55 symptoms and diseases, he revealed.

Telemedicine mental health will be available later in the fourth quarter of this year.

In order to meet the needs of condominium residents, he said BKI was providing asset protection within the premium holders' rooms against natural disasters, fire, lightning, explosions, water disasters, electronic errors, and robbery.

Aside from providing a variety of personalised products and services, Apisit revealed BKI's strategy to use artificial intelligence (AI) technology to improve internal operations and innovation, ensuring that BKI would be the first to respond to its customers' demands and trends.

"We are currently developing and testing an AI Outbound Voice Chatbot to assist us in responding to all customer claims 24/7. The chatbot will be available in the third quarter," he said.

Meanwhile, to improve customer experience and satisfaction, BKI is currently implementing a cognitive customer portal system, which will assist in analysing customer behaviour, preferences, and problems, to help the company provide optimum solutions.

He expected all these moves to help BKI achieve its 2024 goals of 8% overall growth and revenue of 32.5 billion baht, divided into car insurance premiums of 13.69 billion baht and non-motor insurance premiums of 18.81 billion baht.

In order to continue expanding its business and satisfying its business partners and stakeholders, Apisit revealed that BKI intended to restructure its organisation through the establishment of BKI Holdings.

The process has been approved by the Office of the Securities and Exchange Commission, and it will complete its share swap during the 45-day tender offer period before relisting on the capital market in mid-June.

The restructuring, he said, will enable the company to conveniently invest in various businesses, thereby strengthening its financial position. The original registered capital is approximately 106.47 million baht. Insure Tech would be one of the fund's first investment opportunities. 

Last year, the company generated total written premiums of 29.915 billion baht, a 12.1% increase over 2022, with underwriting profits of 2.070 billion baht and net investment income of 1.299 billion baht. The company reported a record net profit of 3.043 million baht.