Allianz partners with FPT to enter insurance market

Allianz announced on January 24 its intention to enter the general insurance sector in Vietnam through a digital joint venture (JV) set up with the FPT Group, driving long-term success in the market and expanding Allianz’s footprint in Asia.

The FPT Group, as the strategic technology partner, will support Allianz in developing innovative digital insurance products and services to meet the protection needs of local customers in Vietnam’s fast-growing insurance market.

The MoU proposes bringing the two complementary businesses together, with Allianz providing expertise and advice on best practices in insurance product customization, financial technology (fintech), and asset management.

The signing ceremony took place on the sidelines of the World Economic Forum in Davos and was attended by Prime Minister Nguyen Xuan Phuc, Allianz SE Board Member Mr. Sergio Balbinot, and FPT’s Founder & Executive Chairman, Dr. Truong Gia Binh.

FPT will provide access to its distribution channels and affiliates, advise and assist Allianz with local market knowledge, and connect the firm with FPT’s subsidiaries and partners.

The MoU details both Allianz and FPT Group’s intentions to enter into a JV agreement for the establishment of a newly-incorporated general insurance company in Vietnam. In line with local regulations, regulatory approval will be sought at the appropriate time.

“We are delighted to embark on the next stage of our partnership with the FPT Group at an exciting time for the development of Vietnam’s economy,” said Mr. Balbinot. “Allianz is well-placed to support the protection needs of local consumers by delivering innovative digital insurance solutions for a demographic ready to adopt them.”

“FPT and Allianz are the perfect match to address the needs of the growing Vietnam market,” said Dr. Binh. “Allianz has the protection expertise to provide accessible and innovative insurance services, while FPT provides the local knowledge and digital network to reach the country’s growing, educated, and youthful population. The partnership is exciting for the growth potential of Vietnam and we look forward to many successes.”

“We look forward to contributing to the continued development of Vietnam’s fast-growing insurance sector, boosting financial inclusion for the under-protected, and reaching an expanding pool of digitally-minded consumers,” said Mr. George Sartorel, Regional Chief Executive of Allianz Asia Pacific.

Vietnam is one of the fastest-growing economies in Asia, with a general insurance market that is expected to experience robust growth. Combined with Vietnam’s high internet and mobile penetration rates, the country is well placed for increased access to digital insurance solutions.