Aviva gains full control of Vietnam life venture

UK insurer Aviva has acquired the entire shareholding of its life insurance joint venture VietinBank Aviva Life Insurance (Aviva Vietnam) in a move that it said simplifies the group's operating structure in the region.

The company has taken control of the remaining 50 percent shareholding and signed a new distribution agreement with VietinBank to sell life and health insurance products through VietinBank’s network of over 1,100 branches.

Following the transaction, Aviva Vietnam has become a wholly owned subsidiary of Aviva with a key focus on growing the business across all key distribution channels. Aviva Vietnam was founded in 2011.

"With Aviva’s insurance and digital expertise and a strong partnership with a leading bank, we are optimistic about our growth prospects in Vietnam," said Chris Wei, executive chairman Aviva Asia and global chairman of Aviva Digital.

"We have developed a deep and successful relationship with VietinBank and will continue to build on our strong foundations."

The company said that Vietnam is an attractive insurance market with double digit life premium growth in the past three years and one of the world’s lowest life insurance penetration levels, at less than 1 percent of GDP. And, the insurance industry is expected to benefit from the country’s projected GDP growth of more than 6 percent annually over the next three years.

Today’s top stories

Underlying results of reinsurers bleaker than reported

Trump may harden US commercial insurance market

UK regulator investigates suspected misconduct in aviation broking industry

Chubb appoints COO of North America major accounts

Allied World adds drones services to risk management offerings

Abundant capital in US P&C favours buyers, according to broker Lockton

Did you enjoy reading this story?  Sign up to our free daily newsletters and get stories like this sent straight to your inbox.