LMG splashes B20m for online sales channel

LMG Insurance, one of the country's largest auto insurance companies, is spending 20 million baht to open up a new online sales channel with the aim of doubling its online sales revenue.

"We expect the proportion of our online sales revenue to double to 10% by 2015," said Supinun Pannachet, the senior vice-president for alternative channels and corporate marketing.

Most of LMG's insurance sales revenue comes from brokers.

Mrs Supinun said the site lets tech-savvy customers select their insurance type and premium by themselves.

LMG is offering auto and flood insurance online but plans to expand to personal accident, travel and health.

"We'll expand our online sales to mobile phones next year, as mobile and internet users are growing at an average of 25-30% per year," said Mrs Supinun.

In developed countries such as the US, online insurance sales made up 40% of total revenues, she added.

Chief information officer Topong Sukhumsawad said LMG invested 100 million baht to install information technology systems that differentiate its services from rivals.

LMG plans to introduce call centre automation next year.

The service will allow customers to click on a mobile application that will automatically identify the customer's location.

The system will find the claim adjuster located nearest the customer's accident and adjusters will arrive on site.

This call centre automation is expected to decrease claims processing time by at least 20%, said Mr Topong.

LMG expects to earn 5 billion baht in revenue this year, up by 4.17% from last year.

In 2010, revenue grew by 17%.

About the author

Writer: Suchit Leesa-nguansuk
Position: Senior Reporter