How AI and data are reshaping insurance in China and Southeast Asia
Artificial intelligence (AI) and data are reshaping the global insurance landscape, with Asia no exception to the trend. Jan Weiser and Katsuyuki Tochimoto, partners at Simon-Kucher, share examples of how insurers in China and Southeast Asia are leveraging AI to improve customer experience, empower sales forces, streamline operations, and respond to regulatory demands.
In today’s competitive and rapidly evolving landscape, digital transformation is no longer optional for insurance companies. Globally, insurers are under pressure to reduce inefficiencies, personalize offerings, and win customer trust. AI has proving to be able to power breakthroughs in all these three areas.
China: A tech-driven, ecosystem-led model
Chinese insurers operate in one of the most digitized environments worldwide. AI is embedded across the value chain, from underwriting and pricing to claims and customer service. Companies like Ping An use health and behavioral data to personalize policies in real time, while ZhongAn settles claims in minutes using automated AI workflows.
China’s mobile-first, platform-centric economy favors seamless integration between insurers and tech ecosystems. Partnerships with platforms like WeChat, Alipay, and JD.com allow insurers to reach customers at scale while embedding insurance into everyday digital experiences. AI also supports product innovation in health, lifestyle, and usage-based lines.
Government policy plays a proactive role. National plans such as ‘Made in China 2025’ and guidelines from the China Banking and Insurance Regulatory Commission (CBIRC) encourage AI development with clear guardrails around transparency, non-discrimination, and data protection. Chinese regulators require insurers to document AI decision processes and mitigate algorithmic bias.
Key lessons from China:
- Digital ecosystems drive scale and speed
- Customer expectations are mobile-native and real-time
- Compliance must evolve with fast-moving tech
- Strong central governance enables bold innovation
Southeast Asia: Rising markets, leapfrogging through AI
Southeast Asia’s insurance markets are young, fragmented, and full of growth potential. AI is helping insurers address infrastructure gaps, streamline service, and expand access. Countries like Vietnam, Indonesia, and the Philippines offer a blank slate where insurers can skip legacy systems and move directly to cloud-native, AI-driven models.
Insurers such as AIA use AI to automate claims in Thailand and Singapore, cutting processing times dramatically. FWD’s training platform “FWD Cube” uses digital humans to simulate realistic client interactions, improving agent preparedness. Manulife’s use of generative AI helps agents personalize advice and improve retention.
Despite high smartphone usage, insurance awareness and trust remain low in several markets. AI-powered personalization and digital onboarding help bridge this trust gap. Regulators are stepping up too. Indonesia’s OJK, Singapore’s MAS, and Malaysia’s BNM are issuing AI guidance focused on fairness, explainability, and inclusive design.
Key lessons from Southeast Asia:
- AI enables leapfrogging legacy systems
- Training and sales enablement are major value drivers
- Regulatory landscapes are modernizing fast
- Market-by-market nuance is essential
Strategic recommendations for insurance
Drawing on our insights from China and Southeast Asia, together with contributions from colleagues across global offices, Simon-Kucher has developed seven strategic recommendations to help insurance leaders advance their AI maturity.
Adapt AI to local contexts
One-size-fits-all doesn’t work. Tailor AI applications to regional infrastructure, customer expectations, and compliance norms.
Balance speed with governance
Move fast, but build systems that are explainable, auditable, and secure.
Focus on customer value
Use AI to solve real customer problems, not just cut costs.
Invest in talent and tools
Build cross-functional AI teams and invest in digital sales enablement.
Think ecosystem-wide
Partner with platforms, tech players, and regulators to scale impact.
Measure and communicate impact
Define success metrics early and track ROI across use cases.
Future-proof the operating model
AI is not a one-off investment. Build dynamic capabilities that evolve with technology and regulation.
