Medici and FAD merge to lead Vietnamese insurtech business

FAD’s staff and agents are going to join Medici, expanding the latter's insurance business with a nationwide distribution network and customer support.

Vu Ba Tuyen, the chairman and general director of FAD will join Medici as co-founder and deputy general director. Tuyen is to head the insurance business (Medici Insurance). Prior to FAD, he acquired more than 20 years of high-level management experience in the insurance industry as deputy general director of the northern region at Hanwha Life Insurance.

Ngo Duc Anh, founde and chairman of Medici (left) and Vu Ba Tuyen, chairman and general director of FAD (right)

The agreement between FAD and Medici marks a new milestone for both businesses. With an innovative tech-based healthcare platform and insurance solutions, Medici is expected to breathe new life into the Vietnamese insurance industry. Combined with FAD's expanding business and Vu Ba Tuyen's experience, Medici aims to gradually set a firm foothold in the insurtech industry in Vietnam.

“FAD has seen fantastic growth and we realise that technology integration is not just a fad, but the future of the industry itself,” said Vu Ba Tuyen. “I see Medici’s potential for cutting-edge technology, financial resources, and a great vision shared by the founders and major venture capitalists in the region. I believe that the merger between FAD and Medici is the cornerstone for us to create complementary strengths and stride forward.”

Ngo Duc Anh, founder and chairman of Medici, noted: “Our mission is to provide affordable and accessible healthcare and insurance to every Vietnamese. FAD possesses a veteran team with in-depth industry experience, which has yielded positive results in a short period of time.

“Our merger will enable us to quickly expand our insurance distribution network across Vietnam and apply our technology in new and exciting ways to serve the Vietnamese people.”

Medici has provided healthcare and insurance solutions to more than 100 businesses over 31 provinces and cities across the country

Yinglan Tan, general director of Insignia Ventures Partners (Singapore), a strategic investor of Medici, shared: “We strongly believe in the potential for Vietnamese insurtechs to create value in this underpenetrated insurance market. We have invested in several leading insurtech companies across Southeast Asia and in Medici we have seen the key elements to become a pioneering insurtech company in Vietnam.

“This is why we are excited for their partnership with Vu Ba Tuyen, which has developed a vast network of insurance distribution with top insurance companies over the past 20 years, and how this will accelerate Medici’s rise in Vietnam's insurance market,” Tan added

According to the Ministry of Finance, in the first nine months of 2021, the total asset value of insurance businesses are estimated at VND650.165 trillion ($28.27 billion), an increase of 20.62 per cent over the same period in 2020.

Moreover, the emerging trend of insurtech is expected to disrupt the regional insurance industry in the near future. This will be a foundation for healthtech and insurtech platforms like Medici to thrive.

Medici is a technology-based platform providing convenient and prompt healthcare and insurance solutions (healthtech and insurtech) to every Vietnamese. Medici boasts a number of large corporate clients including Shopee, Garena, VNPay, Wilmar, and GSK. The company recorded double revenue growth per quarter and a 20 per cent monthly user growth.

FAD operates in the field of consulting and distributing life and non-life insurance, with a vision to provide custom-fit insurance packages to each individual and every Vietnamese family. Currently, FAD is on track to build a strong business network, spanning over 63 provinces and cities across the country.