Insurer earns a solid reputation after just four years in Vietnam's life insurance market, especially in bancassurance.
Established in October 2011, the VietinBank Aviva Life Insurance Company Limited (VietinAviva) is a newcomer to Vietnam’s life insurance field but has grown and successfully staked out a position in the market.
With a guiding principle of being “Customer focused”, the company has been striving to show its focus on people in its operations, which will put it on the right track towards further development.
Outstanding growth and prospects for 2016
2015 was a breakthrough year in the insurance industry. According to the Ministry of Finance, total premium revenue was estimated at VND68 trillion ($2.98 billion), up 21.43 per cent compared to 2014. Premium revenue in the life insurance industry was estimated at VND36.6 trillion ($1.6 billion), a 29.5 per cent increase compared to 2014 and the highest growth in a decade.
VietinAviva’s General Director, Ms. Nguyen Ngoc Trang, said that the growth in the insurance industry and the support from authorities for insurers in offering a convenient legal framework will create opportunities and allow insurers to introduce new products. The life insurance industry will therefore continue to grow strongly during 2016. The market will have more new insurers, making it more competitive, and all insurers will focus on customer care to enhance their competitive capacity and create core values for the industry. “Regarding distribution, 2016 will see bancassurance make a breakthrough in comparison with previous years and become an important channel in the market,” Ms. Trang said.
According to experts, the life insurance industry is awaiting new opportunities, as the demand for protection from insurance is becoming an important part of people’s lives as Vietnam continues to integrate. Many changes are ahead this year. Newcomers to the insurance market, like VietinAviva, will see their efforts bear fruit if they make the right decisions.
Highlights in life insurance
VietinAviva recorded outstanding achievements in 2015. It announced it had joined the Top 10 insurance companies with the highest annual premium equivalent (APE) in Vietnam’s life insurance sector. After four years of operation, total premium revenue grew approximately 400 per cent compared to 2014. The company recorded the highest growth in the life insurance market, and was especially proud to be No. 1 in bancassurance.
As a joint venture between Aviva, the largest financial group in the UK with 320 years of operational experience, and Vietinbank, the leading Vietnamese bank, VietinAviva developed its strengths in bancassurance in combination with Aviva’s experience in implementing bancassurance and VietinBank’s broad distribution network. VietinAviva becoming No.1 in bancasurance after just four years of operations surprised many insurance experts.
The company’s vision is to become the most admired insurer in the country and its mission is to bring peace of mind to customers. With its vision and mission, VietinAviva has recorded excellent business performance over its four years of operations.
Some have put this simply down to luck, but as a long-term management expert Ms. Trang said that its people and its internal capacity and strategy were behind the company’s success. “We planned to become the leading enterprise in bancassurance in 2016,” she said. “But thanks to adopting the right direction and the efforts of the whole company and the support from our two founders, we reached our target one year early.”
Its presence in the Top 10 insurance companies with the highest APE in the market (with approximately 400 per cent growth in premium revenue) and being No. 1 in bancasurance in 2015 proves VietinAviva’s directions and decisions are absolutely correct and in line with trends. “VietinAviva will continue to make customers the focus for sustainable development,” Ms. Trang said.