KUALA LUMPUR (May 28): Insurance firm Tune Protect Group Bhd expects to record incremental revenue growth over the next 12 months from its newly rolled out Dynamic Pricing optimisation initiative.

The Dynamic Pricing initiative, which was rolled out during the first quarter of this year, features real-time optimisation of travel insurance on AirAsia's booking platform. The initiative has commenced on a staggered basis in Indonesia, Singapore and Malaysia.

Tune Protect group chief executive officer Khoo Ai Lin said today the initiative has, so far, yielded positive results and the company expects incremental top line growth of 4% over the next 12 months.

"The back end of the real-time optimisation (on AirAsia's website) is controlled by us so we curate the insurance options available on the page based on what we think the user will be interested in. So far, it is working well. We are hoping to roll this out to another airline partner in the Middle East in the near future," Khoo told reporters at a press briefing following Tune Protect's annual general meeting here today.

Tune Protect's latest annual report shows that major shareholders Tune Group Sdn Bhd and AirAsia Bhd own 15.77% and 13.65% in Tune Protect respectively.

At the press conference, Khoo said the Dynamic Pricing initiative forms part of Tune Protect's newly-implemented three-year strategy called "GAIN", which stands for global business, AirAsia ecosystem, insurtech capabilities and national business.

While travel protection remains a key revenue driver for Tune Protect, Khoo said the group is constantly looking to diversify its revenue streams. She said the company aims to tap more into the retail sector.

"Given this current economic situation that we are in, we want to be able to mitigate our risks. So we want to move towards the retail business. This includes partnership tie-ups with large organisations or insurtech start-ups that have access to retail customers," she said.

Insurtech, derived from the words "insurance" and "technology", involves usage of technology to obtain savings and efficiency in the insurance business.

Khoo said Tune Protect is also actively looking to acquire insurtech companies to support Tune Protect's premium growth. She said Tune Protect is eyeing a company in Indochina.

On average, Tune Protect records roughly 10 million insurance policies yearly. In the long run, it is aiming to achieve 42 million policies in the next three years, supported by insurtech capabilities, according to her.