Hanwha Life Vietnam and Shinhan Bank Vietnam signed bancassurance deal

11:53 | 13/06/2017 Finance - Banking

Hanwha Life Vietnam, Ltd. announced to sign a strategic partnership deal with Shinhan Vietnam Bank SM Ltd. ("Shinhan Bank") that allows Hanwha Life Vietnam to deliver its insurance products through Shinhan Bank's channels.

Under the deal, Shinhan Bank will become a business partner of Hanwha Life Vietnam to provide the latest insurance products to clients through Shinhan Bank’s distribution networks in Vietnam.

The signing ceremony between Hanwha Life Vietnam and Shinhan Bank Vietnam

This cooperation is expected to create a comprehensive financial services that brings more values to both parties' customers by leveraging and promoting the advantage of the two leading Korean companies.

As an affiliate of Hanwha Group, one of Korea’s largest business groups, Hanwha Life Vietnam enjoys the advantage of impressive financial strength with nearly US$103 million of charter capital, management experiences and premium quality products and services. Meanwhile, Shinhan Bank - Shinhan Financial Group, a leading bank in Korea and has been entered Vietnam since 1993. After nearly 25 years of establishment and development, Shinhan Bank has expanded its network throughout the North and the South with 18 branches and transaction offices. In April 2017, Shinhan Bank announced the agreement to buy ANZ Vietnam’s retail banking. The merger is considered as a big stride for Shinhan Bank in Vietnam as well as a strong impact on the growth of Vietnam's retail banking sector in the future.

Speaking at the signing ceremony, Mr. Back Jong Kook, Chairman of the Board of Director cum General Director of Hanwha Life Vietnam, said: “I believe that the cooperation between Hanwha Life Vietnam and Shinhan Bank Vietnam will help effectively exploit the great potentials and strengths of both parties, thereby creating a competitive advantage in the market. This cooperation will bring advanced insurance products to customers in a more comfortable and professional manner.

Mr. Shin Dong Min, CEO of Shinhan Bank Vietnam, informed: “Shinhan’s goal is to provide the broadest portfolios and financial solutions for our clients. A part from existing products and services, including credit, cards, and e-banking and others, we now enter into this partnership with Hanwha Life to introduce insurance products as a perfect extension to our financial services, and also to offer customers a viable option that can protect themselves and their families.”

Currently, the cooperation with banks, including Shinhan Bank, is a part of Hanwha Life Vietnam’s the diversify strategy of distribution channels, make its services more customer-friendly, and spur bancassurance business. Bancassurance is quite new in Vietnam and the potentials are enormous. This promises an important and fast growing sales channel in the future.

Previously, Hanwha Life Vietnam signed a strategic partnership deal with Woori Bank in February this year to push its insurance offerings through this counterparty.

In the first quarter of this year, Hanwha Life Vietnam finished obtained the momentum for high growth in terms of both sales and business expansion. As a result, Hanwha Life Vietnam achieved VND137 billion annual first year premium (AFYP), up 75% over the same period last year. Also, in the first quarter of the year, Hanwha Life recorded a renew premium revenue of VND172.5 billion, increase of 61% in compared with the first quarter of last year (2016).