Insurer Income to underwrite FWD's motor insurance plans

Income will continue pricing plans the way that it has been doing and price bad risks accordingly, says source

- Claire Huang

Digital insurer FWD’s motor insurance business will soon be underwritten by local composite insurer Income, as the two firms sealed a deal.

FWD Singapore on June 27 told its customers that Income will from July 2 underwrite and issue FWD’s car and motorcycle insurance policies. Under the deal, FWD will be a distributor or seller of the motor plans.

The announcement to customers came after The Straits Times reported about the move on June 27.

People familiar with the matter said FWD’s motor insurance renewal business is valued at about $16.9 million, based on its 2023 gross written premiums.

Income, whose pricing for motor insurance is higher than FWD’s, will continue to price the plans the way the former has been doing, and bad risks will be priced accordingly, said a source.