Post on 14-Dec-2015
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MONTHLYMONTHLY REPORT Feb., 2010 REPORT Feb., 2010
Planning DivisionPlanning Division
Jimmy LaiJimmy Lai
5th Mar. 20105th Mar. 2010
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ENGAGED PROJECT THIS MONTH
Market Information Updated
Policy Issued Report
Accumulated Persistency Analysis
Products Submission Status
New Products Information
Progress Report-New Branch
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Dai-ichi Life reports steady growthMarket Market
InfoInfo
The insurer obtained VND744 billion from insurance premiums last year with new policies increasing by 39%.
This is also the second straight year the Japanese-invested company has posted profits from the local market after three years of operation.
The company expanded its market share from 4.8% in the first year to around 7% in 2009.
Dai-ichi Life Vietnam plans to obtain 8% of the market share this year and increase the figure to 10% two years late.
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AIA opens customer service centers
Market Market InfoInfo
AIA has opened its customer service centers in Da Nang, Nha Trang (Middle of VN) and Can Tho (South of VN), which aim to provide customers with a better and more professional service.
The move is part of AIA Viet Nam’s ongoing plan to upgrade and renovate its customer service centers.
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Manulife seeks dual-track growth in Vietnam urban and rural areas
Market Market InfoInfo
Developing Accidental Term Life (A05)Developing Accidental Term Life (A05)
Last September, Manulife Vietnam initiated a micro-insurance project in Hai Phong and Tien Giang, in cooperation with Vietnam Women's Union.
Manulife Vietnam is looking to build up this rural customer base to 500,000 to 600,000 policyholders in the future.
It is anticipated that 10% of these policyholders may emerge as a higher income group, who could then purchase a regular insurance policy.
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Market Market InfoInfoAIA collect premiums through post
offices
AIA Viet Nam's life insurance policy holders can pay their premiums at any of VNPT's (Viet Nam Post Corporation ) local post offices at their convenience without any extra fees charged.
This collection service is effective from March.
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Policy Issued ReportPolicyPolicyReportReport
1.Case Issued
# of Policy Issued
Product Jan. 2010 Feb. 2010 Total
C05 194 88 282 (18%)
C06 5 1 6 (0.4%)
C07 424 213 640 (41%)
C08 217 101 318 (20%)
C09 222 103 325 (21%)
Total 1,065 506 1,571
because of the lunar new year vacation
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Policy Issued Report(cont)PolicyPolicyReportReport
2.First Premium(basic plan)
FP (in million)
Product Jan. 2010 Feb. 2010 Total
C05 712 424 1,136 (21%)
C06 27 11 38 (0.7%)
C07 1,664 981 2,645 (50%)
C08 772 344 1,116 (21%)
C09 262 138 400 (8%)
Total 3,438 1,897 5,335
Main product: C07 &C08
Keep observing : C06
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Accumulated Persistency Analysis
PersistenPersistencycy
AnalysisAnalysis
91.5%
91.5%
91.4%
90.3%
89.6%
89.4%
87.7%
89.9%
86.2%
86.5%
58.2%
62.1%
61.8%
60.3%
50.0%
60.0%
70.0%
80.0%
90.0%
100.0%
98/4 5 6 7 8 9 10 11 12 99/1
7th accumulated persistency
13th accumulated persistency
13th accumulated persistency is not desirable
1.Accumulated Persistency Analysis
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Accumulated Persistency Analysis(cont)
PersistenPersistencycy
AnalysisAnalysis
2.Problem Source Analysis
agents leave workagent-relation policies dismiss
after gaining financial support or performance-related salaryagents terminate pay premium
lack of safeguard sense and income unstablecustomers terminate pay premium
Surrender
Suspend
have cash value after 1st policy year
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Persistency Analysis(cont)
PersistenPersistencycy
AnalysisAnalysis
3.Method to improve
Modify Collector salary related to their collect performance
Add the new official level,Collector Supervisor,to train and supervise Security
Service agents can get 50% service commissions from orphan policies
Develop multiple channel to collect premium and provide premium discount program
Design product that don’t have cash value if surrender within 2nd policy year
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Products Submission StatusProductStatus
Type Name ProductTime
ScheduleNote
Basicplan
Short-termendowment
A03◆2/25 to MoF;◆expect to
launch in the late April
2-year payment; 5-year maturity
(IRR:7%)
Rider
Medical Rider
R04
Term Rider R05
※1 basic products and 2 riders have been sent to MoF.
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Progress Report - New ProductNew
Product
1.Loan Portection Insurance (D01): ◎Death Benefit : Decrease Sum Assured depends on the policy term and year ◎Policy Term:2-year~20-year NOTE: It is a Single Pay Insurance.
This is the specific product for the bank.It will be sent to MoF next week.
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Progress Report - New Product(cont)
New Product
2.Accidental Term Life (A05) : ◎Death Benefit : Non-accident : 20% × Sum Assured Accident : (1+policy year×10%)×Sum Assured ◎ Maturity Benefit: at 10-year(P.P.P. : 5-year) : 10% × Sum Assured at 20-year(P.P.P. : 10-year) : 20% × Sum Assured ◎ Premium Paying Period: 5-year or 10-year
This is the specific product with lower premium.
It will be sent to MoF as soon as possible.
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Progress Report - New Product(cont)
New Product
3.Product Market Share Analysis
Year Endowment UL Other
2008 75% 16% 9%
2009Q3 65% 24% 11%
2010predict 60% 30% 10%
We plan it will be the star product in the second half-year.We will develop UL insurance as soon as possible.
We expect UL will be 10% of our company FYP this year ,and new short-term endowment (A03) will be 20%.
UP!
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Progress Report - New BranchNew
Branch
芹苴 Can Tho
Dong Nai
MoF has approved of operating new branch-Dong Nai.
Expecting to open this new branch on April 2010
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PLANNING PROJECT NEXT MONTH
Developing New ProductsUniversal-Life
Advanced Medical Ridder
2010 Q2 Promotion CampaignPromotional period:March 25th ~ June 22nd 2010
The 1st prize is up to 30M
Independent Region Research
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