Vietnam’s new insurtech mobile startup: What is IZIon24?
As Vietnam’s insurance industry moves from strength to strength, a new marketplace called IZIon24 looks set to bring streamlined insurance solutions to the country’s 98.7 million people.
Launched by Ideal Life, an insurance technology company, the platform is the first super app marketplace of its kind in Vietnam, to offer a wide range of insurance products to customers in a streamlined and flexible format.
The IZIon24 app enables users to browse and choose from a list of insurance products, purchase and manage their policies, and claim compensation.
The platform also has an intuitive interface so that users can compare insurance packages and easily find information on each product's role and benefits.
Already available on Android and iOS devices, IZIon24 has announced that it is working towards providing insurance products tailored to customer requirements. There is also a plan to expand its product portfolio.
Insurtech and insurance in Vietnam
According to reports, Vietnam's insurance market currently boasts 72 insurance companies. These include life and non-life insurance, brokerages. Furthermore, stats from GlobalData, the general insurance industry in Vietnam ispredicted to grow at a compound annual growth rate (CAGR) of 8.5% from VND60.15trn (US$610mn).
However, until now, insurance has not been used much to provide asset protection. Rather, while life insurance has proved a popular product, it is generally seen as a savings product rather than a means of protection. This has led to the life insurance market being the leading sector in Vietnam.
Reports show that the Vietnamese people use insurance to generate returns from their savings in preference to time deposits. This is because the interest rates of incumbent banks fluctuate and which are more vulnerable to inflation.
The equity investment market is also held back by Vietnam’s rather illiquid and undiversified stock markets. Further issues, including the 2012 banking crunch and problems in the property market, have meant that people turn to insurance products as an alternative investment option.
Why Vietnam’s insurance space is shifting
Despite this, today, the insurance market is seeing a shift as data, risk, and customer assessments have improved, and awareness of the importance of adequate coverage has increased.
New data for the automobile industry shows that alongside a rising average income, there is a new demand for car ownership in Vietnam. This has risen significantly in 2022, despite the supply chain difficulties, with sales rising 49.9% year on year.
Property ownership aside from traditional family homes is also increasing household assets and driving demand for protection.
The first streamlined mobile insurance marketplace in Vietnam
The launch of IZIon24 is therefore timely, and the platform is touted to be the first pocket insurance app in Vietnam. However, there is already a growing insurtech ecosystem in the country.
For example, local insurtech startup INSO provides a mobile app for buying insurance. The national telecom giant Viettel has also partnered with global insurtech company bolttech to provide insurance products through the Viettel customer app.
Additionally, the AI-powered insurtech platform SaveMoney recently collaborated with the telco Vinaphone and can now reach millions of uninsured Vietnamese people.
Speaking about the launch of IZIon24, Ideal Life CEO Nguyen Thanh Duy said: "IZIon24 was created with the intention of serving as a bridge to bring suitable insurance products closer to customers, and leverage advanced technology solutions to answer their needs.”
He added, “We also want to change the perception of Vietnamese [people] about insurance by providing an easy experience with added value through IZIon24.”
