Information from BIDV Insurance (BIC) showed that the company in recent time has received support from its strategic partner Fairfax in developing new projects, in parallel with the investment in information technology system, distribution network, etc.
Previously, BIC signed a memorandum of understanding with Seoul Guarantee Insurance Company (SGI) to develop guarantee products in Vietnam.
Earlier this year, Military Insurance Corporation (MIC) was licensed by the Ministry of Finance to supplement new business operations, which are guarantee and agricultural insurance, thereby promising to boost these operations more exciting in the near future.
Not only expanding the market, customers and products in traditional way, many non-life insurers have promoted corporation with Insurtech companies.
Thanks to the support of technology, Insurtech start-ups are now focusing on bringing technology applications into the system to optimise customer experience not only in product purchase but also in customer care and advisory services.
Typically, Post and Telecommunication Joint Stock Insurance Corporation (PTI) is cooperating with 9Lives an Insurtech start-up from South Korea to launch a “small ticket” insurance package on mobile for customers with average income level in developing countries.
In addition to 9Lives, PTI also cooperates with two Vietnamese Insurtech start-ups, Miin and INSO, to provide and deploy insurance products in rural areas, household accident insurance and hospital fee insurance, etc.
The cooperation between traditional insurance companies and Insurtech start-ups has become a trend which helps maximise the advantages of the parties.
For Insurtech, it is the ability to keep up with new technology trends, provide unique products based on customer needs, while minimising the process of issuing contracts as well as compensation.
Meanwhile, traditional insurers have an understanding of the market, consumer behaviour characteristics, as well as brand power.
According to experts, investing in technology is a long-term investment problem of many service industries, including insurance.
Therefore, in the future, the cooperation between traditional insurance and Insurtech companies will be further expanded to meet the increasingly diverse needs of the market.
Currently, the cooperation with Insurtech start-ups such as Miin, 9Lives, INSO, etc., has not yet brought much change, but it will be an important premise to support Vietnamese traditional insurance companies to catch up with the general development trend of the world.
