(TBTCO) – Vietnam Bank for Agriculture and Rural Development (Agribank) and Agricultural Bank Insurance Joint Stock Company (Agribank Insurance) have just held a general agent contract signing ceremony. Speaking at the signing ceremony, Mr. Pham Toan Vuong – General Director of Agribank affirmed that Agribank Insurance plays an important role in the Agribank ecosystem.
|Agribank and Agribank Insurance signed a general agency contract.
Agribank leaders said that the cooperation agreement between Agribank and Agribank Insurance aims to concretize the content and programs that have been and will be cooperated, aiming to improve operational efficiency, maximize potential and Strengths of the Agribank ecosystem through protecting capital and customers.
Agribank Insurance’s development in accordance with the orientation and goals of establishing and providing insurance products through the bancassurance channel has supported the circulation of credit capital flows, especially in agricultural and rural areas, ensuring Ensure the ability to repay loans and reduce bad debt. Agribank Insurance is an effective and efficient risk management tool for Agribank.
With a thorough orientation, Agribank Insurance’s target market is the agricultural sector and the Tam Nong area, in which the core factor that makes Agribank Insurance’s development is Banca distribution channel with insurance products. suitable for the needs of both customers and Agribank.
As of November 30, 2023, Agribank Insurance has basically completed a number of targets of the 2021 – 2025 strategic project, specifically: Regarding the apparatus and network development: The company has 19 branches and 1 Preparatory committee to establish a branch (expected to officially operate from January 1, 2024), completing the target of 20 branches according to the strategic project.
Agribank Insurance’s charter capital reaches VND 723 billion on December 31, 2023. Complete the roadmap to increase capital to 700 billion VND according to the strategic project. Dividend payment in 2023: 51.34%/year (41.34% dividend payment in shares, 10% dividend payment in cash), completing the minimum dividend target of 14%/year. Return on equity: First 11 months of 2023: ROE is 16%/year, reaching the minimum ROE target of 15% according to the strategic project.
Agribank Insurance is arranging the apparatus at the headquarters to fully prepare the conditions to prepare a project to upgrade the model to the corporation to submit to the competent authority for approval. Agribank Insurance will also list on the stock exchange at an appropriate time in the period 2021-2025.
Mr. Nguyen Tien Hai – Chairman of the Board of Directors of Agribank Insurance Joint Stock Company said that up to now, Agribank and Agribank Insurance have gradually developed and replicated the distribution channel model, helping Agribank Insurance affirm its TOP position. 10 on the non-life insurance market map with more than 3 million farmer households and tens of thousands of businesses, of which the majority are farmers, fishermen, and salt farmers.
That is also the reason why users consider Agribank Insurance as a solid shield because Agribank Insurance always emphasizes the mission of a non-life insurance business, always accompanying and protecting customers every step of the way.
2023 is a year with great fluctuations and difficulties for the world economy in general and Vietnam’s economy in particular. In particular, the “crisis” of customer trust in the insurance market, especially life insurance, has had a significant impact and posed many challenges to the operations of Agribank Insurance.
However, by taking advantage of the network advantage and closely following Agribank’s activities, the bancassurance channel has turned challenges into opportunities, thereby exploiting the potential of outstanding loans, diversifying products, and striving for digital transformation. , enhance communication work… to boost business revenue. This is also the year that marks the transformations and changes of Agribank Insurance to adapt to all circumstances, aiming for effective and sustainable operations in parallel with Agribank’s operations.
The insurance agency contract creates an important turning point
In 2023, with the consensus of Agribank’s Board of Members and the attention and direction of Agribank’s General Director, the centralized insurance agency contract between Agribank and Agribank Insurance is a huge change, creating a step forward. An important turning point marked the development of cooperation between Agribank and Agribank Insurance to a new level. The signing of this insurance agency contract is a solid foundation and fulcrum for Agribank Insurance to have confidence in implementing insurance business activities, exploiting Agribank’s great potential and establishing a new position in the world. Vietnam insurance market.