Huize Insurance Ma Cunjun: A $10 Billion Internet Insurance Platform Is Imminent

By Yicai

Recently, Huize.com, China’s largest online insurance platform, announced an expansion of its Series B financing round, securing a follow-on investment of nearly RMB 100 million from Fortune Capital (Dachen Venture Capital). Just three months earlier, Huize had closed a RMB 200 million joint Series B investment from Wanrong Era Capital, Chuangdongfang, and Koala Fund. Given the pace and scale of fundraising over this three-month period, Huize Insurance appears to be advancing rapidly.

Ma Cunjun, who left Ping An to establish Huize Insurance, remarked with emotion: “I originally thought that internet insurance was a light and fast-moving sector—expecting, for instance, to list on NASDAQ within three years and soar freely within five. Who would have thought it would take ten years of relentless effort?”

Regarding the development trends of third-party online insurance platforms, Chuang Dongfang, an investor in Huize Insurance’s Series B financing round, stated, “In the coming years, the industry is poised for explosive growth, with an annual growth rate of 200% being a reasonable expectation. The era of online insurance sales driven by traditional traffic models has passed; only companies with strong service capabilities, as well as product innovation and operational excellence, will truly win the market.”

Currently, Huize has been operating in the online insurance industry for ten years. It owns four major business platforms: Huize.com, Jumi.com, an Open Platform, and Baoyuntong, covering individual, family, and corporate users.

Comparing 2006 with today, Ma Cunjun remarked with emotion: “The biggest change is that insurance companies have finally recognized the overarching trend of internet insurance.”

Unlike most internet companies that prioritize an “asset-light” and “fast-paced” approach, Huize has carved out its own path. Questions about whether its model is “too slow and heavy” have been raised from the very beginning. The aspect drawing the most scrutiny has been Huize Insurance’s large customer service team; as of April this year, the company’s workforce had grown to approximately 800 employees, with more than 400 serving as call-center agents and customer service representatives.

Ma Cunjun frankly stated, “How can one possibly expect the best quality and service while also demanding speed? Fine work requires patience; internet insurance must also embody the spirit of craftsmanship.”

Currently, Huize is actively building a business model that spans B2B, B2C, and B2F. The B2B segment represents Huize’s corporate business line, which includes Jumi.com and Baoyuntong; the B2C segment serves as Huize’s foundational platform for individual customers, offering on-demand, one-click purchasing services anytime and anywhere.

In addition, Ma Cunjun stated that the company will focus on building its “2F” services. The “F” stands for “Family.” With the continuous rise of the middle class in China, there is immense potential for family insurance consumption. According to Ma Cunjun’s estimates, each middle-class household in China needs at least five insurance policies: “The first is accident insurance, the second is critical illness insurance, the third is auto insurance, the fourth is travel accident insurance, and the fifth is home property insurance.”

Regarding Huize’s business model, Ma Cunjun analyzed in a conversation with the author: “The Huize model is a hybrid that must deliver a comprehensive closed-loop system encompassing both product and service loops. This involves not only end-to-end process integration but also refined, detailed services. The product loop and the service loop must be seamlessly integrated. While there is still room for improvement in our current operations, we will rapidly allocate resources to bridge this gap, ensuring that these two loops operate more smoothly and are more tightly interconnected.”

The so-called "service closed loop" refers to the creation of a one-stop insurance service platform that covers the entire insurance lifecycle, starting from policy issuance and providing comprehensive services. Users can not only purchase insurance products on the platform but also handle claims reporting, claim settlements, and policy administration. Within this closed-loop ecosystem, the platform’s aggregated value can be maximized. This business model, centered on product operations and services while extending its reach into all aspects of "Insurance + Internet," forms an "octopus-like" structure, achieving a grand layout that evolves "from channels, to platforms, to ecosystems."

Capital from all quarters is flocking in; when will a RMB 100-billion-scale platform emerge in the internet insurance market? Ma Cunjun believes that day is not far off. He predicts that around 2018, the substantial disruption of traditional insurance by internet insurance will become evident; within five years, “a platform with a market capitalization of RMB 100 billion should emerge in the Chinese market.”