HK-based insurtech firm OneDegree plans new products in Middle East

OneDegree, a Hong Kong-based virtual insurer, plans to launch new offerings in the Middle East.

These include mining risk insurance and smart contract wallet insurance, according to co-founder Alvin Kwock Yin-lun.

Since entering the Middle East in 2023, the company has signed 20 contracts in the region, insuring 20 of the 34 digital asset firms licensed by Dubai’s Virtual Assets Regulatory Authority.

The insurer, which partnered with Dubai Insurance in 2023, has reported no claims or incidents so far.

Dubai Insurance has invested in OneDegree twice in the past two years.

In 2024, OneDegree signed a reinsurance deal with Saudi Arabia’s Walaa Cooperative Insurance and became profitable in Q3 2024, driven by its digital asset and pet insurance products.

It is now eyeing further expansion into Qatar, Bahrain, Kuwait, and Oman, viewing the Middle East as a gateway to Europe and Africa.

🔗 Source: South China Morning Post

🧠 Food for thought

1️⃣ Middle East emerges as fertile ground for insurtech amid digital transformation

OneDegree’s expansion into the Middle East coincides with a significant digital transformation sweeping through the region’s insurance sector.

The Middle East and Africa insurtech market was valued at $76.88 million in 2024 and is projected to reach $109.44 million by 2030, growing at a CAGR of 6.06% 1.

This growth is fueled by increasing digital and mobile penetration, with internet usage in Saudi Arabia reaching 99% in 2024, creating an ideal environment for digital insurance platforms 1.

Regulatory sandboxes in countries like the UAE and Saudi Arabia are actively fostering innovation by allowing startups to test new solutions without full regulatory burden, providing a supportive framework for companies like OneDegree 1.

The company’s focus on digital asset insurance is particularly timely as Middle Eastern nations diversify from oil dependency toward financial technology and digital infrastructure.