Hong Kong based insurer sees Vietnam as huge potential market
Hong Kong based insurer FWD Group is working to quickly establish its presence in Vietnam as the country has a huge growth potential on insurance market with more than 90 million people.
Hanoi (VNA) – Hong Kong based insurer FWD Group is working to quickly establish its presence in Vietnam as the country has a huge growth potential on insurance market with more than 90 million people, according to the group’s CEO Huynh Thanh Phong.
Southeast Asia has been the main playground of FWD Group since it was founded as an insurance arm of investment group Pacific Century Group in 2013. It has been rapidly expanding its operations in Thailand, Indonesia, the Philippines and Singapore, the CEO told the Dau Tu (Vietnam Investment Review).
The firm acquired Great Eastern Life Vietnam from Singapore’s Great Eastern Life Assurance last month in an attempt to lead a faster market penetration by taking advantage of Great Eastern Life Vietnam’s existing market share, personnel and infrastructure, Phong said.
The group also signed a 15-year agreement for a bancassurance partnership with An Binh Joint Stock Bank (ABBANK) on July 14 which will offer it the exclusive right to distribute its life insurance and saving products to the bank’s customers, he added.
Explaining why the FWD group is taking its first step in the country with the bancassurance deal, Phong said bancassurance currently accounts for only around 3 percent of sales in Vietnam compared to 50-60 percent in other Asian markets, meaning a huge opportunity for the group.
In addition to that, the country is shifting from an insurance industry that focuses on single-channel distribution to one with multi-channel distribution.
When entering Vietnam, the firm hopes to change the way people feel about insurance and make them more aware of the importance of life insurance for them and their families, he stressed.
It could be done by the company’s unique approach in providing consulting services and designing a contract, alongside its 24-hour and convenient customer care, and easy-to-understand products.
Headquartered in Hong Kong, FWD offers customers life and medical insurance, employee benefits and general insurance across Hong Kong, Macau, Thailand, Indonesia, the Philippines and Singapore.-VNA
Southeast Asia has been the main playground of FWD Group since it was founded as an insurance arm of investment group Pacific Century Group in 2013. It has been rapidly expanding its operations in Thailand, Indonesia, the Philippines and Singapore, the CEO told the Dau Tu (Vietnam Investment Review).
The firm acquired Great Eastern Life Vietnam from Singapore’s Great Eastern Life Assurance last month in an attempt to lead a faster market penetration by taking advantage of Great Eastern Life Vietnam’s existing market share, personnel and infrastructure, Phong said.
The group also signed a 15-year agreement for a bancassurance partnership with An Binh Joint Stock Bank (ABBANK) on July 14 which will offer it the exclusive right to distribute its life insurance and saving products to the bank’s customers, he added.
Explaining why the FWD group is taking its first step in the country with the bancassurance deal, Phong said bancassurance currently accounts for only around 3 percent of sales in Vietnam compared to 50-60 percent in other Asian markets, meaning a huge opportunity for the group.
In addition to that, the country is shifting from an insurance industry that focuses on single-channel distribution to one with multi-channel distribution.
When entering Vietnam, the firm hopes to change the way people feel about insurance and make them more aware of the importance of life insurance for them and their families, he stressed.
It could be done by the company’s unique approach in providing consulting services and designing a contract, alongside its 24-hour and convenient customer care, and easy-to-understand products.
Headquartered in Hong Kong, FWD offers customers life and medical insurance, employee benefits and general insurance across Hong Kong, Macau, Thailand, Indonesia, the Philippines and Singapore.-VNA
You should also see
Dien Bien soldiers, youth volunteers meet in Hanoi
Nearly 300 soldiers and youth volunteers directly engaging in the Dien Bien Phu campaign 70 years ago looked back on the 56-day battle, the victory of which led to the signing of the Geneva Accords on ending the war and restoring peace in Indochina, at a meeting in Hanoi on April 23.
See more
Business
HCM City seeks to draw remittances in infrastructure
A seminar aimed at channeling overseas remittances into infrastructure took place in Ho Chi Minh City on April 23, given that remittances to the city reached 9.46 billion USD in 2023, nearly three times higher than foreign direct investment (FDI), according to official statistics.
Sci-Tech
FPT, NVIDIA ink MoU to build 200 million USD AI factory
Vietnam’s tech giant FPT plans to build a 200 million USD artificial intelligence (AI) factory using Nvidia's graphics chips and software, as announced on April 23 in a comprehensive strategic partnership with NVIDIA.
Business
Lao Cai province calls for more Japanese investments
The advantages and potential of Vietnam’s northern border province of Lao Cai were introduced to Japanese firms at an investment and tourism promotion conference in Tokyo on April 23.
Business
Vietnam’s economy shows gradual recovery: WB’s report
Vietnam's economy is showing mixed signs of recovery in early 2024, with growth forecast to reach 5.5% in 2024 and gradually rise to 6.0% by 2025, according to the latest World Bank Taking Stock bi-annual economic update released on April 23.
Business
Tra fish export to UAE jumps 67% in Q1
Vietnam’s tra fish export to the United Arab Emirates (UAE) reached more than 7 million USD in the first quarter of this year, a rise of 67% against the same period last year, statistics of the General Department of Customs showed.
