Kyobo Life Insurance Revises CPC Strategy Post-COVID-19 (Comprehensive)

Innovation in Customers, Products, and Sales Channels in Response to Market Changes

[Asia Economy Reporter Oh Hyung-gil] ‘How has the COVID-19 pandemic changed customer interest in life insurance?’

Kyobo Life Insurance is conducting a market survey targeting 20,000 consumers. The company plans to observe changes in the insurance environment that have emerged after COVID-19 and establish new customer, product, and sales channel (CPC) strategies.

According to the insurance industry on the 14th, Kyobo Life Insurance is promoting a survey to understand changes in customers and the market since COVID-19 and plans to establish a new CPC strategy in the second half of the year.

This survey will examine the utilization of digital channels based on non-face-to-face interactions, which have expanded due to COVID-19, and customer needs for new products such as mini insurance and insurance for those with pre-existing conditions that allow easy enrollment. With growing interest in healthcare, new services utilizing customers' health information are also included.

In the insurance industry, the COVID-19 pandemic, which has brought significant changes to daily life, has made the establishment of new CPC strategies urgent. Consumers' awareness of risks such as infectious diseases and illnesses has increased interest in coverage for injuries and diseases, highlighting insurance’s role as a social safety net.

The insurance business is also being urged to develop new products and utilize non-face-to-face channels in response to market changes, and to build risk modeling to prepare for large-scale disasters.

Since 2019, Kyobo Life Insurance has operated a dual CEO system where Chairman Shin Chang-jae plans long-term strategies such as digital innovation and new businesses, while professional manager Yoon Yeol-hyun, Chief Insurance Officer, is responsible for insurance sales. In particular, the CPC division was significantly strengthened in the organizational restructuring at the end of last year.

The Digital New Business Team was renamed the Open Innovation Team to strengthen collaboration with startups and discover new business models.

A new Platform Commercialization Task Force (TF) was also established to build a ‘user-centered platform’ that allows customers to access services anytime and anywhere. Internally, the company has finalized its entry into the MyData business, which is gaining attention as a new growth area, and established a Financial MyData Department for the MyData business.

This is expected to serve as a new growth engine alongside the digital transformation efforts led by Chairman Shin Chang-jae. In his New Year's address this year, Chairman Shin stated, "We have established the ‘DBS (Digital transformation Based Strategy),’ a corporate strategy that improves existing insurance business while simultaneously securing new growth engines for the future," and added, "We will consistently pursue DBS over the next three years."

Additionally, on the 8th at Kyobo Life Insurance headquarters in Jung-gu, Seoul, during the '2021 Company-wide Management Strategy Meeting before the start of the year,' Chairman Shin declared that ‘ambidextrous management’ will be fully promoted this year.

Kyobo Life Insurance explained that ambidextrous management means generating continuous profits from the existing life insurance business while securing new growth engines to build a foundation for the future. Chairman Shin ordered improvements in the profitability of traditional insurance business, preparation for future growth through digital innovation, departmental culture innovation, leading consumer protection practices in the industry, and the establishment of a proactive asset management response system.

This content was produced with the assistance of AI translation services.