Homegrown next-generation insurer OneDegree Hong Kong today announces the launch of an all-new mortgage fire insurance, giving savvy homeowners an alternative in a market traditionally dominated by large insurance firms. With no middlemen involved, OneDegree can pass on cost savings to customers through its Best Price Guarantee, helping customers save up to thousands of dollars in policy premiums every year.
Providing flexible and comprehensive coverage, OneDegree Hong Kong charges a fixed rate of 0.03% of the sum insured annually, regardless of the residence’s age or building type; that’s significantly lower than other insurers in the market, with the most expensive plan charging 0.15%. To illustrate the potential savings, a homeowner with an HKD4,000,000 mortgage will pay up to HKD4,800 less every year if they switch to OneDegree Fire Insurance.
Most mortgage applicants are required by their lenders to purchase fire insurance; yet, despite it being a common product, transparency in the market and consumer awareness have always been relatively low. In fact, many borrowers are surprised to learn that they do not have to insure through their lenders and that choosing other insurance carriers will not affect their mortgage applications in most cases.
Alvin Kwock, Co-Founder of OneDegree, said: "2020 was an extraordinary year for us. In less than a year, our monthly sales have soared by roughly 50 times, and we expect growth to continue as we broaden our product range in 2021. Like our pet insurance, OneDegree Fire Insurance is transparent and focused on providing the best for our customers. Our competitive pricing will help many homeowners cut down on unnecessary expenses and save for better uses elsewhere.”
"Banks that currently accept OneDegree Fire Insurance account for over 70% of the fire insurance market, and we’re working on making our coverage available to more mortgage customers. In addition to fire insurance, our teams will continue to enhance and expand our products and partnerships in the pet, cybersecurity, and e-commerce spaces,” he added.
Fire insurance, also known as buildings insurance, provides coverage for structural damages caused by hazards including fire, flooding, and gas explosions. OneDegree Hong Kong’s coverage can be tailored to meet a mortgage bank’s requirements, and policyholders can rest assured that they will be refunded the difference if they find the same coverage for a lower price elsewhere. After purchasing a policy online, policyholders can sit back and relax while a dedicated team handles all relevant paperwork and communications with their lenders.
OneDegree Hong Kong currently accepts sum insured from HKD500,000 to HKD50,000,000. Mortgage customers of The Hong Kong and Shanghai Banking Corporation, Bank of China (Hong Kong), Standard Chartered Hong Kong, The Bank of East Asia and Hang Seng Bank are welcomed to purchase policies directly on the Company’s website. For more information, please visit https://www.onedegree.hk/en-us/fire-insurance.
OneDegree Hong Kong Limited
Contact person: Joey Hui