Techcombank to launch new non-life insurance company
Techcombank to launch new non-life insurance company
Techcom Non-Life Insurance Joint Stock Company (TCGIns) has received approval from the Ministry of Finance and is scheduled to begin operations in early November.
According to an announcement on October 14, Techcombank will hold an 11 revise cent stake in TCGIns, which will focus on providing non-life insurance services. The non-life insurance company will offer a wide range of products, including property insurance, cargo transportation insurance, aviation insurance, motor vehicle insurance, fire and explosion insurance, and health insurance.
TCGIns has a charter capital of VND500 billion (approximately $20 million), with Chung Ba Phuong serving as chairman of the board and legal representative.
He has previously held senior positions, including director of insurance at Techcombank, CEO of Generali Hong Kong, and various leadership roles at Generali, Manulife, and American International Group.
Techcombank’s move into non-life insurance follows the path of other Vietnamese banks such as VietinBank, Agribank, MB, SHB, and HDBank.
Industry experts point to the recent damage caused by Typhoon Yagi as a clear indication of the growing need for non-life insurance products to protect against risks.
Techcombank’s expansion into non-life insurance comes as the cross-selling of life insurance products has become more challenging. The bank recently ended its exclusive distribution partnership with Manulife, which had been one of the most prominent bancassurance deals, generating substantial upfront fees and annual commissions.
