Bank expands financial ecosystem with life insurance piece

The Vietnamese life insurance market is entering a new growth phase, becoming an attractive "piece of cake" for banks. From there, the "three-legged stool" for sustainable development is gradually taking shape: banks expand their financial ecosystem, insurance effectively reaches the bank's large customer base, and customers receive comprehensive protection and savings solutions.

Banks and the race to open insurance companies

The Vietnamese life insurance market is showing signs of recovery and optimistic growth. According to data from the Vietnam Insurance Association, in the first 6 months of the year alone, the number of life insurance contracts in force reached more than 11.7 million, an increase of 1.06% over the same period last year.

The life insurance market is expected to continue to record positive growth from 2026. Global Data's growth outlook report published in February 2025 forecasts that the compound annual growth rate (CAGR) of the life insurance industry will reach 3.2% in the period 2025-2029, with the market size reaching about VND165.4 trillion in 2029.

Mr. Swarup Kumar Sahoo, Senior Analyst at GlobalData, commented: “Tightening of legal regulations and changes in population structure will be key factors contributing to the market recovery. In addition, the life insurance penetration rate in Vietnam is still very low compared to other countries in the Asia- Pacific region such as Thailand (3.5%) or Taiwan (8.7%), showing that there is still a lot of room for growth.”

Notably, many banks have also established their own insurance companies to expand and complete their ecosystems. Establishing their own insurance companies helps banks provide a complete financial ecosystem, from savings products, loans to risk protection. Thanks to that, banks can meet diverse needs, enhance engagement and retain customers more effectively.

By entering the life insurance market, banks can meet diverse needs and retain customers more effectively.

Furthermore, instead of depending on external partners, banks can directly design insurance products suitable for each of their current customer segments. Controlling the entire process from consulting, sales to customer care in the financial ecosystem ensures consistent quality, enhances reputation and builds long-term trust with customers.  

BIDV MetLife develops steadily in the new context

Not outside of that trend, BIDV has quickly affirmed its mark with the birth of BIDV MetLife, established on the basis of a joint venture with MetLife Company Limited (MetLife Group) and BIDV Insurance Corporation (BIC). With the combination of expertise and global financial potential of MetLife Group and the advantage of understanding the domestic market of BIDV, BIDV MetLife possesses outstanding synergy.

This gives BIDV MetLife a superior competitive advantage, especially in approaching and serving customers through BIDV's extensive distribution network. Over the 11-year journey in Vietnam, BIDV MetLife has accompanied and guided more than 113,000 customers through BIDV's system of more than 1,000 transaction points nationwide.

CEO Elena Butarova: BIDV MetLife will continue to pioneer innovation with BIDV, accompanying Vietnamese customers

Entering its 11th year of operation in Vietnam, BIDV MetLife has shaped its development strategy based on MetLife Group's new global orientation, New Frontier. Accordingly, BIDV MetLife focuses on four key areas: bringing appropriate value to each customer segment; improving sales and service quality; promoting digital experiences; and providing customer-centric solutions with speed and professionalism. This strategy not only demonstrates synchronization with the global orientation, but also helps BIDV MetLife flexibly adapt to fluctuations in the Vietnamese life insurance market.

At the same time, BIDV MetLife has also continuously expanded its product portfolio to meet the diverse needs of customers. Two new joint products launched this year: Future Gifts and Future Initiative, are a testament to this effort. In addition, BIDV MetLife has also launched a comprehensive health care service package "Physical Security - Future Security" for all individual customers. From there, BIDV MetLife can accompany customers from long-term protection plans to daily health care, bringing comprehensive peace of mind in life.

Ms. Elena Butarova, General Director of BIDV MetLife said: “The development of BIDV MetLife is a clear demonstration of the strength of BIDV's international cooperation strategy and the expansion of its investment directions. In the new development phase, BIDV MetLife is committed to continuing to pioneer innovation, focusing on customers, and constantly improving service experience - in line with the spirit of the New Frontier strategy.”

With a solid foundation and sustainable development strategy, BIDV MetLife continues to affirm its pioneering position in the bancassurance model. In the coming time, BIDV MetLife will continuously improve customer experience in the context of the whole industry witnessing a strong transformation.

Source: https://baodautu.vn/ngan-hang-mo-rong-he-sinh-thai-tai-chinh-voi-manh-ghep-bao-hiem-nhan-tho-d398010.html