A decade ago, purchasing insurance in Malaysia often involved tracking down agents, navigating complicated policy terms, and dealing with time-consuming paperwork. Today, the experience is rapidly evolving as digital platforms simplify the process, enabling Malaysians to explore, purchase, and manage insurance coverage with just a few taps on their smartphones.
According to projections by Ernst & Young, Malaysia’s digital insurance market could grow to RM78 billion by 2030. Despite this promising outlook, a significant protection gap remains, with an estimated 10.2 million Malaysians still underserved, largely due to affordability concerns and the complexity of traditional insurance products. Digital platforms are emerging as a key solution, leveraging large user bases and simplified interfaces to make insurance more accessible and easier to understand.
Insights from the ShopeePay’s Insurance Trends Survey 2026 reveal a strong shift in consumer confidence toward digital insurance. The survey found that 88% of insurance buyers are comfortable purchasing coverage online, while 56% cite convenience, affordability, and faster purchasing processes as the main reasons for choosing digital platforms.
Beyond convenience, digital channels are also helping introduce insurance to individuals who previously lacked coverage. The survey indicates that 78% of personal accident insurance customers had never held such coverage before purchasing a plan through ShopeePay via MoneeInsure Agency, a registered corporate insurance and takaful agent. Additionally, 67% of these customers said they would not have purchased personal accident insurance if they had not encountered it online, highlighting the important role digital platforms play in raising awareness and closing the protection gap.
The shift toward digital insurance is also evident across other product categories. The survey found that 69% of motor insurance customers and 46% of travel insurance customers now rely on digital platforms to research and purchase policies. With round-the-clock access to policy details and simplified management tools, online platforms are making insurance more user-friendly and accessible than traditional methods.
Importantly, the impact of digital insurance extends beyond urban, tech-savvy consumers. Around 40% of insurance buyers live in non-urban areas, where access to traditional insurance agents may be limited. Supporting this trend, 16% of personal accident insurance customers reported difficulty reaching an agent offline, underscoring how digital platforms are helping bridge access gaps for Malaysians outside major cities.
Flexible payment options are also encouraging adoption. Nearly eight in ten car insurance customers choose to pay using SPayLater, Malaysia’s leading buy-now-pay-later (BNPL) service. This allows users to spread out their premium payments, with almost half opting for a 12-month installment plan, making insurance more manageable from a financial perspective.
As digital adoption continues to grow, insurance is becoming less restricted by geography, agent availability, or large upfront payments. Through partnerships such as the collaboration between ShopeePay and MoneeInsure Agency, Malaysians are gaining access to protection that is more flexible, inclusive, and convenient.
To further enhance user benefits, MoneeInsure Agency is currently offering a free road tax promotion as part of the ShopeePay Raya campaign. The initiative aims to encourage more Malaysians to begin their insurance journey digitally, joining millions who already rely on the ShopeePay app for everyday financial services.
