TO SUPPORT fintech entrepreneurs in strengthening their safety net and managing risk better, Prudential Singapore (Prudential) is partnering with the Singapore Fintech Association (SFA) to offer its members complimentary Group Personal Accident coverage for a year.
This initiative is targeted at supporting young startups established in Singapore within the last five years. Such companies have less than ten employees on average and are usually run by the founders themselves.
These entrepreneurs tend to overlook provisioning for adequate personal insurance coverage for themselves and their employees especially in the first critical years of operations.
To help close their protection gap, Prudential is extending personal accident protection with coverage of S$350,000 (US$256,637) to employees of the startups registered with SFA. The plan provides 24-hours, worldwide coverage against accidental death and injury and no medical underwriting is required.
The company must be registered in Singapore, be established within the last five years, and be a registered SFA member on or before Nov 30, 2017. The coverage will apply to all active employees at the start of the policy period who are Singapore citizens, residents and employment pass holders.
Prudential Singapore CEO Wilf Blackburn, said Prudential’s support of SFA’s members is in recognition of the tremendous value and vibrancy that fintech startups bring to Singapore’s insurance industry and financial ecosystem.
There are now some 1,600 to 2,400 tech startups seeking and creating opportunities in Singapore with many having set up shop here following the rollout of the Smart Nation masterplan in 2014.
“Fintechs play an important role in the development of Singapore’s financial services industry as they create innovative solutions that enrich the lives of consumers and the community. At Prudential, collaboration with fintechs forms a key pillar of our digital roadmap to deliver better customer experiences, enhance efficiency and help people meet their life goals,” said Blackburn.
This is Prudential’s second boost to the local fintech community following the introduction of its PRU Fintegrate Partnership programme through which it collaborates with fintechs to develop new digital solutions.
Blackburn said that in doing so the company has gained a deeper appreciation of the challenges startups face in establishing and growing their businesses.
“Having insurance will give startups the peace of mind to focus on what they do best, which is to innovate, test new ideas and develop solutions for customers. This coverage should grow in tandem with the company as it matures and expands its footprint and employee base,” he said.
The SFA which has more than 200 active members is a cross-industry, non-profit initiative which facilitates collaboration between stakeholders in the fintech ecosystem. SFA president Chia Hock Lai, said that the organisation is committed to helping fintechs build sustainable businesses.
“The partnership with Prudential Singapore provides vital reassurance to our members at an early stage in their business. It means one less factor to consider as they grow. With support from Prudential, the SFA can continue their commitment to help fintechs in the region accelerate their businesses,” said Chia.
As part of their agreement, Prudential and SFA will explore insurance education and awareness-raising initiatives for fintechs.
SFA members who require wider insurance coverage will also be able to seek advice from Prudential financial consultants knowledgeable in enterprise solutions.
Prudential’s offering to SFA members is in line with the insurer’s commitment to help companies in managing employee well-being and business risk with its range of enterprise solutions. To find out more, visit http://www.prudential.com.sg