Sun Life Financial Inc. announced today that its subsidiary Sun Life Vietnam Insurance Company Limited (Sun Life Vietnam) and Tien Phong Commercial Bank (TPBank) have formed a 15-year bancassurance partnership in Vietnam.
The agreement combines TPBank's distribution network with Sun Life Vietnam's market-leading life insurance products, giving 2.5 million TPBank customers access to a comprehensive range of innovative insurance solutions.
The bancassurance partnership contributes to the company's strategic priority to be a leader in Asia through distribution excellence in higher growth markets. Bancassurance is a promising, high-growth distribution channel for life insurance in Vietnam.
"We're very excited to partner with TPBank, a digital leader in Vietnamese banking," said Léo Grépin, President of Sun Life ASEAN. "This bancassurance partnership demonstrates our focus on expanding our distribution network with world-class partners that share our goal of constant innovation. We look forward to working with TPBank to secure a brighter future for their customers in Vietnam."
This 15-year bancassurance partnership affirms the long-term commitment of TPBank and Sun Life Vietnam to help Clients achieve their financial goals with exceptional banking and insurance solutions.
Under the agreement, Sun Life will make an initial payment of approximately $100 million, which the company intends to fund with internal resources. This initial payment will be amortized over 15 years. There will also be ongoing, variable payments, based on the success of the bancassurance partnership.