Insurer FWD sees Vietnam as key market in Asian growth strategy

Photo: Duc Minh

At the meeting, Deputy Minister Can praised the contributions made by FWD to the development of Vietnam’s insurance market.

He said that as economic growth continued and household incomes improved, demand for financial protection in Vietnam was increasing. However, the insurance market remains relatively modest compared with its potential. As of 2025, insurance premium revenue was equivalent to around 1.8 per cent of GDP, while approximately 12 million life insurance policies remained in force for a population of more than 100 million.

Combined with Vietnam’s favourable “golden population” structure, these factors provide strong foundations for international insurance groups to expand their operations and develop a broader range of specialised products, including retirement insurance and personal financial solutions, he said.

Providing an update on the market, Ngo Viet Trung, director general of the Insurance Supervisory Authority, said total insurance industry assets were estimated at more than VND1.2 quadrillion ($47 billion) in the first eight months of 2026, up 10.2 per cent on year. Investment back into the economy reached nearly $40.5 billion, up 11.2 per cent, while total insurance technical reserves exceeded $30.5 billion, an increase of 11.19 per cent.

Total insurance premium revenue in the first eight months was estimated at $6 billion, up 3.45 per cent on year. Non-life insurance premiums reached $2.5 billion, rising 15.17 per cent, while life insurance premiums stood at $3.5 billion, down 3.6 per cent. Insurance benefit payouts reached $2.6 billion, up 12.39 per cent.

Alongside changes within the industry, regulators are continuing to improve the legal framework governing insurance businesses. During 2025-2026, regulations were amended to streamline business conditions and strengthen supervision through post-inspection mechanisms.

To implement the sector’s strategy towards 2030, which targets insurance premium revenue equivalent to 3.3-3.5 per cent of GDP and aims to raise the proportion of the population covered by life insurance to around 18 per cent, the MoF is accelerating efforts to refine the regulatory framework.

The reforms focus on reducing business conditions, simplifying administrative procedures and shifting from pre-inspection towards transparent post-inspection, creating a more favourable environment for investors.

Photo: Duc Minh

Phong said that Vietnam remained a key market in FWD’s long-term growth strategy in Asia. FWD currently serves more than 40 million customers across 10 markets, with total assets of $62.4 billion. The group has also been investing heavily in digital infrastructure, with 98 per cent of its operations running on cloud-based platforms and more than 320 AI applications deployed.

Regarding FWD Vietnam’s operations after a decade in the Vietnamese market, Phuong Tien Minh, general director of FWD Vietnam Life Insurance Company, said the company was recording a positive growth trajectory.

FWD Vietnam currently has charter capital of $749 million, while its total assets reached $948 million in 2025, up 10.1 per cent. Total investments stood at $52.4 million, representing a 21.3 per cent increase.

The strategic bancassurance partnership between FWD and Vietcombank recorded 29 per cent growth in the first seven months of 2026. New business premium generated through the banking channel currently accounts for 67 per cent of FWD Vietnam’s total new business premium revenue.

FWD Vietnam is also making extensive use of AI, voice recognition and conversational analytics to monitor the quality of insurance advice, strengthen compliance and ensure greater transparency in the provision of information to customers.

Recognising the company’s efforts, Deputy Minister Can called on FWD to continue expanding investment in Vietnam while linking business performance with social responsibility and accelerating digital transformation to improve customer experience.

He stressed that sustainable growth in the insurance market must be built on customer trust, supported by transparent advice, prompt settlement of insurance claims and accurate communication about the substantive value of insurance. This would help consumers better understand the benefits and protection they receive when purchasing insurance products.

The MoF leadership stated that the Vietnamese government remained ready to work with and facilitate reputable international financial and insurance groups such as FWD in making long-term investments and contributing to the country’s socioeconomic development.

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