Hanwha Life Achieves Cumulative Profit Turnaround in Vietnam After 15 Years... "Aiming for TOP5"

First Local Subsidiary Fully Funded by Domestic Insurers
Imported Insurance Premiums Grow Over 100 Times in 15 Years
Aiming to Enter Local TOP 5 by 2030

Hanwha Life Vietnam Corporation achieved cumulative profit for the first time in 15 years since its establishment in 2008. It is the first overseas local corporation established with 100% investment solely by a domestic insurance company.

On the 20th, Hanwha Life announced that Vietnam Corporation held an event on the 18th in Ho Chi Minh City, Vietnam, to commemorate the full elimination of accumulated losses and the 15th anniversary of its establishment.

Hanwha Life Vietnam Corporation recorded net profit in the overseas market for the first time among domestic insurance companies in 2016, eight years after its establishment. Since then, it has consistently achieved profits for five consecutive years from 2019 to the first half of this year, eliminating accumulated losses.

As a result, the retained earnings of the Vietnam Corporation amounted to 161.5 billion VND (approximately 9.1 billion KRW) as of the end of the first half of this year. Last year's net profit was 502.6 billion VND. The premium income, which is equivalent to insurance company sales, also increased significantly. It grew more than 100 times from 41 billion VND in 2009, the first year of operation, to 4.3919 trillion VND last year.

Yeoseungju, CEO of Hanwha Life, said, "This is an achievement based on Hanwha Life’s capabilities and experience," adding, "We will spread advanced financial systems and successful DNA locally to write the history of K-finance along with the development of the Vietnamese financial market."

Hanwha Life explained that a thorough localization strategy was key to growth. Except for three executives including the head of the corporation, all 551 employees (as of the end of last year) in sales, education, and financial management are local personnel.

Additionally, considering that the youth population accounts for more than 30%, they implemented a digital strategy and continuously carried out various social contribution activities for local customers and communities, such as constructing health centers and children's hospitals.

Due to these efforts, as of the end of last year, Hanwha Life Vietnam Corporation operates 128 branches (as of the end of last year) based in major cities such as Da Nang and Can Tho, establishing a nationwide sales network. Its market share (based on premium income) ranks 11th among 19 domestic and foreign life insurance companies operating locally in Vietnam.

Hanwha Life Vietnam Corporation announced that, based on this elimination of accumulated losses, it aims to enter the top 5 in the Vietnamese market and achieve an annual pre-tax profit of 100 billion KRW by 2030. In the short term, it plans to strengthen the capabilities of its agent channel and expand bancassurance, while in the long term, it will pursue diversification of product portfolios, enhancement of asset management capabilities, and advancement of customer service infrastructure.

Hanwha Life stated, "By combining traditional insurance sales success experience with digital innovation and diversified financial solutions, we will become a leading financial company in the Vietnamese insurance market."

Yeo Seung-joo, CEO of Hanwha Life (fourth from the left), Kim Dong-wook, Head of Global Strategy at Hanwha Life (third from the right), Hwang Jun-hwan, Head of Hanwha Life Vietnam (second from the left), along with local insurance regulatory officials and key executives of Hanwha Life Vietnam, are posing for a commemorative photo at the 15th anniversary event held in Ho Chi Minh City, Vietnam. (Photo by Hanwha Life)

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