The acquisition boosts ACE’s small but growing Asian presence in the life insurance business which currently includes China, Vietnam, Thailand, Indonesia and Taiwan.
Across the region, a diversity of distribution channels is used to access the population characterised by a growing middle class, high savings rates and the lack of social safety nets.
At the core of the distribution is an ever-expanding agency force with nearly 30,000 agents stretched across the five markets. Other channels include direct marketing, bancassurance and brokerage.
Accordingly to Saloon Tham, Regional CEO Asia, ACE Life, “Building a life insurance business in Asia takes time and perseverance.
The acquisition of New York Life’s operations in Hong Kong and Korea shows the company’s financial strength and clarity of vision to grow in measured steps to expand the ACE Life foot-print in this economically important region.”
Lam Hai Tuan, CEO of ACE Life Vietnam said: “We are a young but fast growing company with mutual respect for New York Life and the agency DNA they will bring in the future to the ACE Life operations.
Once the acquisition is completed, we hope to exchange best practices to further enhance the agency training and sales methods locally.”
ACE Life Vietnam has been known as a pioneer with the introduction of the Universal Life product to the Vietnam market since March 2006.
Presently, ACE Life Vietnam is the only company offering a full range of Universal Life products that allows individuals and groups, between the ages of 0 and 80, who have different financial capabilities and social economic status to apply.
In August 2010, ACE Life Vietnam launched the “Global Personal Accident” product which is seen as a major breakthrough in the life insurance market of Vietnam.
Vu Giang (vir.com.vn)