Vietnam: Bancassurance is a winning distribution strategy for insurers
Source: Asia Insurance Review | Dec 2019
Bancassurance sales have shown impressive growth in Vietnam, accounting for 30% of total premium revenue currently compared to 10% in 2016.
Industry experts predict that bancassurance will continue to grow strongly in the near future, as insurers continue to make it an important distribution channel.
Among the insurers, Manulife Vietnam has signed a bancassurance cooperation agreement with Asia Commercial Bank. Prudential Vietnam has added three more banks to its bancassurance channel: UOB Vietnam (in May), PVcomBank (August) and Shinhan (September). They take the insurer’s total number of partner banks to seven.
More recently, Hong Kong’s FWD Insurance Group (FWD) and Vietcombank signed a 15-year bancassurance pact. FWD also agreed to buy Vietcombank-Cardif Life Insurance (VCLI), a life insurance joint venture company between Vietcombank and BNP Paribas Cardif. This transaction is awaiting the approval of the authorities. A