Insurance Sales Companies Unveiled... Three Start Operations in the First Half of the Year

Hanwha Life Financial Service Targets 100 Billion KRW Net Profit
Mirae Asset to Transfer About 3,300 Planners Next Month
Hyundai Marine & Fire Insurance Undergoing Reporting Procedures... Operations to Start in Q2

[Asia Economy Reporter Oh Hyung-gil] Sales-specialized subsidiaries dedicated to insurance sales are gradually unveiling themselves. Three such companies are scheduled to start operations in the first half of this year alone. If these sales subsidiaries successfully settle in, the trend of 'separating manufacturing and sales (Je-pan separation)' in the insurance industry is expected to accelerate further.

According to the insurance industry on the 19th, Hanwha Life showed confidence in its sales-specialized subsidiary 'Hanwha Life Financial Services' during a conference call held the previous day. Hanwha Life Financial Services, which will launch on April 1, is expected to have around 1,400 employees transferred from the headquarters by March and approximately 20,000 planners.

Hanwha Life Financial Services aims to prevent the outflow of financial planners (FPs) by securing sales competitiveness and to recruit excellent external planners, targeting growth to the level of corporate agencies (GA).

In particular, it set a goal to achieve mid- to long-term profits of 100 billion KRW by selling not only life insurance but also non-life insurance products. A Hanwha Life official said, "By selling non-life insurance volumes, we expect to generate 20 billion KRW annually and additionally create profits of 50 to 60 billion KRW in the long term," adding, "With the expansion of the planner organization, exclusive life insurance volumes will also increase, expecting an additional profit creation of 50 to 60 billion KRW."

[Image source=Yonhap News]

Mirae Asset Life plans to complete the transfer of about 3,300 exclusive insurance planners to its sales subsidiary 'Mirae Asset Financial Services' next month. In line with this, Mirae Asset Financial Services is currently conducting open recruitment for experienced professionals in marketing, management, IT, and sales support.

Mirae Asset Life Financial Services plans to build a mobile-based digital infrastructure alongside face-to-face channels to provide customized customer services through partnerships with various financial platforms. Additionally, Mirae Asset Financial Services is pushing for a paid-in capital increase of 70 billion KRW on the 26th of this month against its parent company, Mirae Asset Life. If the investment is completed as scheduled, Mirae Asset Financial Services' capital will increase to 89.6 billion KRW.

After separating the sales channel, Mirae Asset Life will be reborn focusing on products and services. It plans to provide competitive products to affiliated channels such as GA and bancassurance and to develop customer-tailored products. It will also expand partnerships with portals and financial platforms alongside launching online platform-based products.

The scale of personnel transfers within the headquarters is also expected to be decided soon. Mirae Asset Life's labor and management have signed an employment stability agreement for employees moving to the subsidiary and plan to complete the transfer through an internal recruitment process.

Hyundai Marine & Fire Insurance is also undergoing financial regulatory reporting procedures to establish the sales subsidiary 'My Financial Partner.' Since November, it has formed a channel strategy task force (TF) to devise strategies for strengthening channel competitiveness, including the establishment of the sales subsidiary.

However, Hyundai Marine & Fire Insurance has stated that it will not proceed with separating the sales organization within the headquarters. It explained that this is not a typical 'Je-pan separation' but an additional subsidiary establishment. Accordingly, the sales subsidiary is expected to start operations as early as the second quarter by recruiting competitive new planners.

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