9 lessons from 9 years

Back in June 2012, we took the plunge, and opened a new insurance company. We weren’t so much a start-up as an upstart. Most people said we wouldn’t last three months. Nine years later, King Price has become one of the most recognisable brands in South Africa. We’re a 1,100-person, almost-R6 billion company that has sold more than 315,000 policies.

Look, it hasn’t always been plain sailing. It took a while for the market to get used to our vision of doing insurance differently, and our quirky way of doing things. And then Covid-19 struck, changing the world as we know it in an instant.

Along the way, there were lessons to be learned. Lots of them. Here are my top 9 insights and highlights from the past 9 years.

We all want protection

When King Price entered the market, insurance was seen as a grudge purchase. It still is. But South Africans are slowly realising that insurance is critical to cushioning life’s unexpected blows. It just has to deliver value.

We need new products for new times

The old days of selling people ‘one size fits all’ policies, and grading their risk generically, are over. Our clients are increasingly looking for products that talk to their own personal needs – and more importantly, their individual risk profiles. This is going to drive major change in the industry in the coming years.

The future belongs to the machines

Technology is changing the face of insurance, with better data analysis allowing insurers to determine individual risk to a point of near perfection. This results in more accurate and fair premiums, which means lower-risk clients will pay less for insurance.

Consumers are driving change

Technology is the enabler, but clients are the real disruptors. They want simple products tailored to their needs, a slick engagement experience, and the ability to interact on the platform of their choice. We’re enabling our clients to manage their policies at any time, from wherever they happen to be.

Company culture is critical

It’s never been more critical for companies to show their clients and staff that they’re important. We’re seeing a greater focus than ever on company culture that’s empowering and enabling – but this can only happen in a business that’s based on purpose and values.

Organic growth will only take you so far

The local short term insurance market remains cut-throat. Clients change insurers for a few Rands less on their monthly premium. To grow, you’ve got to be open to acquisitions and alliances that can take the business forward, whether locally – like King Price’s acquisition of Stangen – or abroad.

‘Digital-first’ drives opportunity

We always knew a ‘digital-first’ business model would be fundamental to unlocking new value. It’s driving more collaboration between traditional insurance and new entrants: traditional companies provide the footprint, the market knowledge and the client base; digital insurers drive new insurance models and revenue streams, higher profitability and lower costs, and improved customer experience.

Time to reaffirm our purpose

Consumers seek out companies and brands that align with their values. At King Price, our company is driven by our vision: Lower premiums: Higher purpose. Our vision in action sees us #MakingADifference and changing people’s lives.

Never waste a good crisis

I’ve always said you should never let a good crisis go to waste. We’re in the middle of one of the greatest crises of our lifetimes – and the lessons we’re learning could just set us up for the next decade. We can’t afford to waste this opportunity.