Opportunity to Invest in a High Growth InsurTech Co
The company is a technology-based actuarial firm established in 2015 in Kuala Lumpur, Malaysia. n-actuarial provides consulting services and technology solutions based on actuarial science, with most of n-actuarial’s clients being insurance companies.
The company has achieved significant revenue and profit growth over the years and have built a strong infrastructure ready for future growth opportunities. n-actuarial is known as a leading actuarial firm in the ASEAN region, with a strong team of professionals, large profile of clients and our exceptional work quality.
The insurance industry is faced with industry revolution 4.0. There is a need for the insurance industry to transform into a fully automated, digital industry to remain profitable and relevant in the financial service industry in the digital era.
The company is a unique company that has accumulated profound technical knowledge in complex insurance processes such as actuarial, finance, risk management, product development, reinsurance, investment and compliance, as well as the know-how to apply cognitive robots with artificial intelligence (AI) into insurance processes.
With a growth and progressive mindset, the companyu has become a leading, growth driven actuarial firm in the region. n-actuarial is in the pole position to play the role of a key catalyst in the digital transformation of its clients in the insurance industry.
PROBLEM FACED BY INSURANCE COMPANY IN THE WORLD:
Insurance companies spend $1.5 trillion annually on operating expenses. Our robots can save $250 billion annually!
Situation Insurance companies mostly have:
1. inefficient operations
2. archaic & inflexible IT systems
3. overly complicated processes
4. lack of technical talent poor conduct in salesforce
Problem 30% of insurance revenues i.e. $1.5 trillion per year are operating expenses of insurance companies.
High expenses results in:
1. Consumers paying expensive premium
2. Consumers cannot afford insurance
3. Reduced earnings for insurance companies
WHAT IS THE SOLUTION?
Our company is a technology-based actuarial firm which build a complex back-end operational ROBOTS that can take up many manual, repetition and monotonous works to reduce manpower and yet increase the efficiency of the insurance operational processes.
Our ROBOTS can help to reduce expenses of insurance companies by 17% annually.
We provide insurance companies with technology solutions for operational efficiency and cost reduction.
Potential With the onset of industry revolution 4.0, technology is playing an ever-increasing role in the insurance industry.
The majority of work processes within an insurance company will become automated in the near future. n-actuarial is the key catalyst in this digital transformation of the insurance industry.
Consulting Services - We provide consulting services to insurance companies, including but not limited to:
Appointed actuary service
Actuarial valuation service
Actuarial pricing service
IFRS 17 implementation service
Actuarial feasibility study service
Risk management service
Merger and acquisition service
Whilst this business is profitable, there are over 100,000 actuaries globally, and this number is increasing. This is becoming a red ocean. It is our intention to move away from consulting services towards offering technology solutions. Consulting services will remain our Entry Point Customer in our Business Transformation Plan.
Technology Solutions We develop, and intend to continue to develop more technology solutions for insurance companies. Our flagship product IBNR Robot which uses AI to perform actuarial work has been very successful. Our other products include the following: You may click to visit the product website
Currently there are no actuarial firms in the market that is aggressively pursuing AI and automation based technology solutions. This is the blue ocean.
Our Flagship Product
IBNR Robot - Automating Actuarial Work
IBNR Robot – An Actuarial Application of Artificial Intelligence, International Congress of Actuaries Berlin 2018
IBNR Robot Success Stories:
Liabilities managed by IBNR Robot has exceeded $100m in 2019.
Replace 4 man days of work with one-click.
Used in 5 companies in Malaysia, Singapore & Brunei.
Novel invention with patent pending.
Presented in many global actuarial conferences.
Over the past 5 years, n-actuarial has accumulated a total of 75 clients and MYR 4,120,080 in revenue (as at 30th June 2020).
The gross revenue grew by 40% and 148% respectively in year 2020 and 2019. The net profit grew by 57% and 122% respectively in year 2020 and 2019.
Our current consulting services clients shall become the entry point customers for technology solutions. In the past, the focus was on acquiring clients to deliver consulting services in return for a fee. The current focus shall remain to be on acquiring clients, however, the focus is to channel these clients to the Innovation Lab.
The Innovation Lab shall focus on the development of new technology solutions targeted to the actual problems of the entry point customers. In the past, new technology solutions were developed based on general market demand and n-actuarial’s capabilities instead of actual problems of clients.
Development of new technology solutions and implementation existing technology solutions shall be the focus to deliver long-term financial objectives. In the past, the focus was on delivering consulting services for short-term financial objectives.
At this current juncture, companies in the similar industry are not pursuing the development and implementation of technology solutions in an aggressive manner. The main reason is that it is very difficult to acquire talents with skills and experience in technology and AI as Nicholas, not to mention the vision to deploy technology to transform the insurance industry in industry revolution 4.0.
Nonetheless, there are similar companies that are either currently in the fringes of this space or have capabilities to move into this space. This includes Aon PLC (AON), DXC Technology Company (DXC), Fidelity National Information Services, Inc (FIS), Marsh & McLennan Companies, Inc. (MMC), Moody’s Corporation (MCO) and Willis Towers Watson PLC (WLTW).
n-actuarial intends to raise between MYR 3 million to MYR 10 million. USD 750,000 shall be utilised to fund the first year expenses of the Innovation Lab, while USD 1.25 million shall be used in the second year for subsequent expansion and transformation projects.
Our mission is to develop and implement novel and cutting-edge solutions to make our clients more successful.
It is our vision to achieve global recognition of our thought leadership and innovative solutions in the actuarial field.
NICHOLAS YEO - FIA FASM FSA FSAS FSAT
Founder & Actuary
Founded n-actuarial in 2015
Credentialed by both Institute & Faculty of Actuaries (UK) and Society of Actuaries (US)
Experience practising as an actuary in many countries across Asia, America, Europe, Africa as well as Australasia
Was the youngest Malaysian to become a qualified actuary at age of 23
Past Council Member of Society of Actuaries Entrepreneurial & Innovation Section
Winner of Society of Actuaries 2020 Young Actuaries in Asia Essays on Societal Impact Award
One of the few actuaries that has been selected to present multiple times at the International Congress of Actuaries
Unique Founder Advantage:
Skills and experience in the field of insurance, technology and AI
Vision of digital transformation of the insurance industry
We currently has a strong team of 25 people, comprising of professional actuaries and accountants. The senior team members have extensive experience at board, senior management and technical levels in the insurance industry, in life insurance, general insurance, takaful and reinsurance companies, across all functions including general management, marketing, risk, finance, actuarial, product and strategy. Currently, n-actuarial has 7 actuaries with credentials from international actuarial professional bodies, making us one of the largest teams in South East Asia.