A virtual insurer with headquarters in Hong Kong named Bowtie has announced the successful conclusion of a $34.9 million Series B2 funding round.
According to a statement released by Bowtie on Thursday, Mitsui & Co., Ltd. also participated in the round, which was led by primary investor Sun Life Hong Kong Limited.
It stated that given Bowtie’s demonstrated success in altering how consumers access health insurance, this investment reaffirmed their confidence in the company’s long-term growth.
In order to close Hong Kong’s $886 billion protection gap, Bowtie said it is prepared to expand its operations and technological capabilities with the new funding.
It stated that the company’s goal is to fundamentally alter the customer experience through accelerated product innovation and vertical integration with healthcare providers.
The statement claims that Bowtie’s rapid growth has fueled the overall development of the online channel and helped boost the direct channel market share of the insurance industry by three times, from 2.9 percent to 8.5 percent.
Bowtie maintained its top spot in Hong Kong’s direct channel for the first half of 2023 with a market share of about 30 percent, a position it had previously held for two years.
It claimed that the company’s aggressive digital insurance and health offerings are what’s fueling its growth.
This, according to the report, is evidence of how well-positioned digital insurance providers are to provide customers with the best balance of cost, convenience, and service level.
“With annual recurring revenue of $25 million and over 100,000 customers, we have demonstrated solid fundamentals in growth, brand, and customer value,
“In today’s competitive business environment, investors not only seek top-line growth from startups but also a clear path to profitability, which makes our achievements even more precious,” said Michael Chan, Co-Founder and Co-Chief Executive Officer of Bowtie.
Bowtie claimed that in addition to the essential voluntary health insurance scheme (VHIS) products, repeat business from existing clients is another factor supporting its growth.
According to the report, the company’s critical illness products have seen a remarkable growth rate of more than 100% over the past year.
Bowtie has served more than 500 small and medium-sized businesses and tech-savvy businesses across a range of industries, including fintech, telecommunications, and airlines, during this time, and has also accomplished a significant milestone in group medical insurance and wellness solutions.
Bowtie’s revolutionary business model was praised by Sun Life Hong Kong Limited, an early investor in the company that oversaw this Series B2 funding round.