Grab It is Southeast Asia’s leading passenger transport company, thanks in large part to its acquisition of Uber’s local business last year, but the company is also home to an ambitious fintech group. That just added another vertical to its business after Grab announced that it is partnering with China’s ZhongAn to introduce insurance.
Grab and ZhongAn International, the international arm of the Chinese insurance giant, said today that they will create a joint venture that will provide digital insurance services throughout Southeast Asia. Grab said the new business will partner with insurance companies to offer the services through its mobile app. Chubb, a company that already works with Grab to offer microloans to its drivers, is the first partner to commit and will offer insurance for Grab drivers starting in Singapore.
ZhongAn is widely praised as China’s first exclusively digital insurance platform. It is backed by traditional insurance giant PingAn and Chinese internet giants Tencent and Alibaba.
Grab’s move into digital insurance comes a day after Singapore Life, An online insurer in Singapore closed the second part of a $ 33 million financing round aimed at expanding its business in Southeast Asia.
This ZhongAn partnership adds another layer to Grab’s services and fintech business, which already includes payments, both online and offline, and is slated to move to cross-border remittances and online healthcare, the latter being a deal. with brother PingAn Good Doctor.
The push is also part of a broader strategy by Grab, which was last valued at more than $ 11 billion and aims to turn its app from a simple app for everyday needs, in the style of Chinese “super apps.” like Meituan and WeChat.
In fact, Grab Chairman Ming Ma mentioned that it was very ambitious to call insurance products “part of our commitment to become the leading super app in the region.”
Last summer, Grab opened its platform to third parties who can leverage its sizeable user base, currently 130 million downloads, to reach consumers in Southeast Asia, where the rapidly growing “digital economy” is tripling to reach the $ 240 billion. 2025. The Grab platform has received services such as e-grocer HappyFresh, offers from the travel giant Booking and more.
Grab has also strived to develop the local ecosystem with its own accelerator program, called “Velocity,” which, rather than providing capital, helps young companies take advantage of its platform. It has also made investments, including a deal with the hotel brand OYO in India, a SoftBank portfolio company that has expanding designs in Southeast Asia.
Grab operates in eight markets in Southeast Asia, where it claims to have completed more than two billion trips to date. The company is currently raising a massive Series H fund that has already surpassed $ 3 billion in raised capital, but has a higher goal of reaching $ 5 billion, as we recently reported.
Go-Jek, Grab’s main rival is expanding its business outside of Indonesia after launching in Vietnam, Thailand and Vietnam. Like Grab, it also offers services beyond arrest and the company, which has the backing of Meituan, Google, and Tencent, is about to finalize a new $ 2 billion funding round for its battle with Grab.