Mr. Back Jong Kook, Chairman of the Board and General Director of Hanwha Life Vietnam, shares his thoughts on Vietnam's insurance market.
Vietnam’s insurance market has achieved high and stable growth recently while the financial ability of financial firms continues to improve. Along with the positive outlook for the economy, the growth rate in insurance remains in the double digits, making Vietnam’s insurance sector become a catalyst for investment insurers to improve the quality of their services and launch new products to increase their market share.
I believe that insurers have many huge opportunities because the life insurance industry in Vietnam is still in its early stages of development. Being a dynamic, emerging market in Southeast Asia with an ideal population structure, rising middle class, and economic growth potential, has made Vietnam become an attractive market in the eyes of many foreign investors.
At the same time, new government policies with tax incentives for individuals or businesses taking out insurance will also have a positive impact on demand for life insurance and expand market scale. We must also recognize the intrinsic strength and dynamism of and efforts by insurers over many years to diversify and provide products and services of high quality to the market. These things will certainly contribute significantly to the growth of Vietnam’s insurance market.
After six years in Vietnam Hanwha Life is proud to be an enterprise with significant growth prospects. In 2014 new premium income rose 56 per cent compared to the previous year, or nearly double the average growth in the market. In the first five months of 2015 Hanwha Life Vietnam continued to maintain revenue growth, with new premium revenue increasing 59 per cent.