AllLife – the first company in the world to offer life cover to people living with HIV takes its Diabetes platform global with Royal London

By Gary Herbert, Partner, LeapFrog Investments

It’s difficult to find a business in LeapFrog’s portfolio that sits more firmly at the intersection between profit and purpose than AllLife Group.

In 2004 it became the first company in the world to offer whole life cover to HIV positive individuals in South Africa, where 19.2% of the adult population are living with HIV.

AllLife is both an incredible and symbolic business for us. The company occupies pride-of-place as our very first investment in 2009 as part of LeapFrog Financial Inclusion Fund 1. Today AllLife serves more than 100,000 customers, providing a safety net to families by preventing a decline back into poverty. AllLife has improved the health and mortality rates of people living with HIV, with an average 15 per cent improvement in the health of clients within the first six months of their policy (measured as the improvement in CD4+ count).

In 2014, the team used this expertise to broaden its services to people living with diabetes. AllLife products are reinsured by Gen Re, part of the Berkshire Hathaway Group.

The Promise of Insuretech
For some time now, the future of data and platform-led online scoring has been touted as the next big thing in insurance. Predictions were a tech-led approach would deliver “engagement innovation” in the form of customer-centric products and value added services. An insuretech business would also be capable of streamlining operations and underwriting, thereby improving sales and engendering loyalty.

One need look no further than AllLife to see how the promise of insuretech has practically enabled the company to innovate and lead the market in a way that delivers on the promise of engagement innovation. Their technology-first approach to the provision of life insurance has made them pioneers in the life space when it comes to HIV and diabetes life cover. Over the last 13 years, AllLife has developed and continually refined their technology platform Kalibre, turning big data, predictive analytics and insights into relevant and distinctive value propositions for customers. This has resulted in a market-leading model of customer engagement and a distinctive life cover offering.

The Kalibre Platform uses advanced robo-underwriting and algorithmic pricing to be able to accept and price applications in real time – dramatically improving the experience of buying insurance. This approach significantly mitigates the risk of providing cover to Type 1 and Type 2 diabetics. Kalibre also revolutionises the process of buying life insurance, by improving the time taken to accept an application from weeks to less than an hour.

Taking a Leap with Royal London
Currently, there are 415 million people living with diabetes, which accounts for roughly 1 in 11 of the world’s adult population. This figure is set to rise dramatically in the next 20 years.

In line with its mission to transform access to insurance for diabetics worldwide, AllLife has now taken Kalibre to the global market with Royal London, in a move that will transform life insurance for many of the 4.5 million people in the UK living with diabetes, providing cover to clients previously considered ‘uninsurable’.

With Kalibre, Royal London will be able to offer UK diabetics the most advanced life cover available in the market, with an approach that integrates a great upfront customer experience with ongoing health management. According to the World Health Organisation, a series of cost-effective interventions including blood glucose control, exercise, diet and medication can improve outcomes for diabetics. Using Kalibre, when Royal London clients demonstrate they have adhered to their health treatment plans, they may be eligible to receive a reduction in premiums of up to 40 per cent over the life of the policy. The original premium level will never increase.

Royal London will benefit from the 13 years of experience AllLife has gained in underwriting life cover for chronic diseases, collecting and analysing data, and refining the Kalibre Platform to deliver an experience customised to the needs of diabetic profiles.

Doing good and doing well
While AllLife’s social impact is considerable because it delivers life cover to previously excluded and in the case of people living with HIV, stigmatised groups, this is a profitable business, one that has seen 50% growth year-on-year, since being founded in 2004.

The huge opportunity to take the business to other markets was highlighted when the company received the Unilever Global Development Award. Unilever said, “This remarkable, successful and sustainable business model has huge potential in terms of scale and significance with great potential to expand and replicate both geographically and across other long term health conditions.”

The AllLife team have pioneered a technology-led and sustainable business. This is in line with the company’s vision to “pioneer life insurance for people living with chronic but manageable diseases”. Their relentless dedication to improving the economic prospects of clients as well as their health and longevity has enabled them to build a world-class business and platform that is unmatched in the marketplace.

AllLife Group announces global insurance industry first for diabetes

London, 24 April 2017

South Africa-based insurtech leader AllLife Group today announced a landmark agreement with Royal London, UK’s largest mutual life, pensions and investments company.

Leveraging AllLife’s pioneering technology platform, Royal London will transform life insurance for many of the 4.5 million people in the UK living with diabetes, providing cover to clients previously considered ‘uninsurable’.

AllLife has a track record of successfully opening access to affordable life cover for people living with chronic conditions. It became the first company in the world to offer whole life cover to HIV positive individuals. The expertise, experience, and innovation that this brought to the business ensured that it was successfully able to broaden its services to people living with diabetes.

AllLife’s services are underpinned by Kalibre, an insurtech platform that uses an innovative risk assessment approach, supported by continuous underwriting. The platform revolutionises the process of buying life insurance for people living with Type 1 and Type 2 diabetes by improving the time taken to accept an application from weeks to less than an hour.

The Kalibre Platform uses advanced robo-underwriting and algorithmic pricing to be able to accept and price applications in real time – dramatically improving the experience of buying insurance. This approach significantly mitigates the risk of providing cover to Type 1 and Type 2 diabetics. Currently, there are 415 million people living with diabetes, which accounts for roughly 1 in 11 of the world’s adult population. This figure is set to rise dramatically in the next 20 years.

“Since founding AllLife 13 years ago, we’ve been on a mission to deliver innovative, specialised products to people who are typically excluded from purchasing traditional life insurance. We back people to live by providing them with affordable life insurance, and actively supporting the improvement of their health and well-being,” said Ross Beerman, CEO of AllLife Group. “Our relationship with Royal London marks the start of an exciting journey to open up access to life insurance for people living with chronic diseases across the globe, transforming the way in which life insurance is delivered.”

The announcement marks the first international launch of the Kalibre Platform, a significant milestone in AllLife’s mission to transform access to insurance for diabetics across the globe. A hallmark of this insurtech platform is the ease of integration and roll-out for insurance partners.

“AllLife is a testament to how technology innovation in insurance can open up new markets in the West, where growth has slowed,” said Gary Herbert, Partner, LeapFrog Investments. “The announcement today with Royal London is a demonstration of the opportunity to deliver better insurance models driven by technology, to marginalised groups globally. Kalibre is unique to the market, and delivers a competitive advantage for insurance partners, previously unseen.” LeapFrog’s partnership with AllLife began in 2009 through an investment as part of LeapFrog Financial Inclusion Fund 1.

With Kalibre, Royal London will be able to offer UK diabetics the most advanced life cover available in the market, with an approach that integrates excellence in upfront customer experience with ongoing health management. According to the World Health Organisation, a series of cost-effective interventions including blood glucose control, exercise, diet and medication can improve outcomes for diabetics. Using Kalibre, when Royal London clients demonstrate they have adhered to their health treatment plans, they may be eligible to receive a reduction in premiums of up to 40 per cent over the life of the policy. The original premium level will never increase.

AllLife is a world pioneer in the delivery of life insurance products to HIV positive customers. In South Africa, the company plays an important role in a market where 19.2 per cent of the country’s adult population are living with the HIV virus. To-date it has served more than 100,000 customers, providing a safety net to families by preventing a decline back into poverty. AllLife has improved the health and mortality rates of people living with HIV, with an average of 15 per cent improvement in the health of AllLife clients in their first six months (measured as the improvement in CD4+ count). AllLife first extended their life cover to people living with diabetes in 2014.

Debbie Kennedy, Group Head of Protection Strategy at Royal London, said: “Securing life cover for people who have been diagnosed with a chronic condition can involve detailed medical questionnaires, followed by exclusions, additional premiums or being declined cover, depending on the nature of their condition. At Royal London, we want to provide products and services that help customers with chronic conditions get the cover they need at an affordable premium.”

Jules Constantinou, Regional Manager Life Health for UK and Ireland at Gen Re, commented: “Having worked closely with AllLife on the development of its continuous underwriting technologies, we have seen the transformative potential of the Kalibre Platform. The experience and expertise that AllLife has built up through providing affordable, accessible life cover to thousands of people living with diabetes in South Africa will be invaluable when launching the product internationally.” AllLife products are reinsured by Gen Re, part of the Berkshire Hathaway Group.