Meet Sumarie Greybe, University of Pretoria (UP) graduate and co-founder of Naked, South Africa’s first fully digital insurance platform that offers comprehensive and instant cover for cars, homes, contents and standalone items. “We are called ‘Naked’ because we bring new levels of transparency to insurance – no hidden fees, no hidden agendas,” says Greybe, who graduated from UP with a BCom (Hons) in Actuarial Science in 1994.

After leaving her corporate job in 2016, Greybe co-founded Naked with Alex Thomson and fellow UP alumnus Ernest North, and launched the business in 2018. 

Greybe and her co-founders spent many years in the short-term insurance industry before founding Naked. She says that as consulting actuaries, they saw first-hand how the insurance industry was struggling to come to grips with a digital world where consumers expect transparency, convenience and affordability, and where they have no patience for paperwork and endless calls with a contact centre.

“We saw disruptive players in nearly every industry except insurance using technology to deliver more convenient, relevant, affordable and transparent customer experiences,” Greybe says. “People run their lives on their smartphones. For years, you have been able to plan your holiday, order food, do your banking and book your movie on your smartphone, without speaking to anyone. Insurance was being left behind and we wanted to change that.

“We realised that legacy processes and technologies, along with expensive infrastructure and old ways of thinking, were holding incumbents back in the digital world. This presented us with a once-in-a-lifetime opportunity to build a new-generation insurance business from scratch. We wanted to rebuild insurance as a digital and automated experience, unconstrained by legacy technology and processes.”

She further explains that their goal was to use cloud-based technologies, artificial intelligence, big data and automation to transform the customer experience. In addition, they wanted to recreate insurance as a social good and reshape the fundamental relationship between an insurer and its consumers. “This required a new business model, one that eliminates the conflict of interest in the traditional insurance business model,” Greybe says. “Unlike traditional insurers, we charge our clients a flat fee and donate money left in the pot allocated for claims to causes in our Naked Difference programme at the end of each year. Because we don’t profit from the claims pool, customers know they won’t need to fight to get a valid claim paid and they get to enjoy being part of something that makes a difference in the community.” 

As for the challenges in the insurance industry, Greybe says that people have low trust in insurance and see it as a grudge purchase. “We had our work cut out for us in changing perceptions. Many consumers feel that premium pricing and claims decisions are not fair or transparent. We kept focusing on improving the customer experience and aligning what we offer to meet and exceed what clients expect. And we always believed in what we were doing.”

Her other connection to UP was her father, Professor Willie Greybe, who was a professor in the Mathematics Department. “It was the many visits to my dad’s lecture hall and office that inspired my love for mathematics,” she says. “When I was considering university options, UP was my first choice. At the time, UP was one of the top three universities offering actuarial science degrees. It was also one of the first to offer such a course, since it was a relatively new study option at the time. UP was also one of the first universities accredited by the UK’s Institute and Faculty of Actuaries.” 

As a graduate, Greybe believes that alumni need to support their alma mater as much as they can. She notes that UP’s Actuarial Science Department is one of the first places she recruits from because she is aware of the high standards that it adheres to. “I also like to present and talk to the students to share experiences, and to provide them with opportunities in the industry.”

Greybe shares these entrepreneurial lessons: “Focus on picking co-founders and early employees who share your vision and goal. They should believe in your values and want to work towards the same culture and ambitions as you. Respect and trust are key; many start-ups fail due to a breakdown of founder relationships or hiring early senior employees who do not fit the culture. You want to spend all your energy on building the business, not managing conflict.”

Click here to read more about Naked.