Shinhan Life Vietnam: Sustainable development the guiding principle

Businesses play a vital role in the sustainable development of national economies. A company’s success is now measured not just by financial performance but also by its contributions to society and the communities where it operates.

Shinhan Life, a new life insurance brand from South Korea now in its third year in Vietnam, benefits from the extensive investment history of its parent company, the Shinhan Financial Group, which has been active in the Vietnamese market for decades. Shinhan Life is dedicated to sustainable development, prioritizing sustainable business practices and social responsibility as the core of its growth strategy in Vietnam.

After a year of significant changes and challenges, Vietnam’s life insurance market is shifting towards sustainable development. How is Shinhan Life participating in this transformation?

Sustainable development is an inevitable trend for all businesses, especially in the life insurance sector, where products have lifespans spanning several decades and the industry is inherently people-focused.

At Shinhan Life, our vision is to “Enhance the Quality of Life through Innovation”. We also embrace the mission of our parent company, the Shinhan Financial Group, to create “A Better World through Finance”. Since starting in January 2022, we have implemented a sustainable development strategy and responsible business practices to fulfill this mission and vision.

In more than two years of operations in Vietnam, Shinhan Life has clearly demonstrated its commitment to sustainable development through two main objectives. First, we focus on sustainable business growth by establishing Shinhan Life as a trusted life insurance company with high-quality distribution channels, superior financial solutions, and a customer-first approach. Second, we actively collaborate with stakeholders to implement initiatives that drive sustainable change within the community.

Experts agree that investing in sustainable development is not a burden for businesses but rather a source of competitive advantage and long-term benefits. Has this been the case for Shinhan Life during its two years of operations in Vietnam?

With a sustainable business strategy tied to social responsibility, Shinhan Life’s financial solutions have become the trusted choice for thousands of Vietnamese customers seeking to secure their future and families. Thanks to the unwavering trust of our customers, Shinhan Life Vietnam has achieved encouraging business results despite challenging market conditions, positioning us as one of the few life insurance companies to experience positive growth.

In 2023, Shinhan Life Vietnam continued to develop and posted positive growth. Our total revenue reached VND319 billion ($12.5 million), marking a 73 per cent increase compared to the previous year, with net revenue from insurance amounting to VND214 billion ($8.39 million). Our total assets reached VND2.38 trillion ($99.33 million). Notably, our minimum solvency ratio stood at an impressive 10,721 per cent, ensuring that the company maintains efficiency and resilience in the face of potential risks and market fluctuations.

Together with a dedicated and professional team of over 100 employees and more than 300 consultants across all distribution channels, we have established a solid foundation to achieve even better results on the journey ahead.

Shinhan Life has only been active in the Vietnamese market for just over two years, but has implemented initiatives that deliver tangible value to the community. Could you tell us more about these initiatives?

As a life insurance company, we are deeply committed to preparing for future uncertainties, with a particular focus on children and adolescents, as they represent the future of our nation. Therefore, Shinhan Life’s initiatives are geared towards supporting the younger generation. We firmly believe that investing in children and teenagers is crucial for fostering sustainable development for Vietnam’s future generations.

In 2023, we partnered with BNJ Vietnam to launch the iLead Program for teenagers at SOS Children’s Villages in Hanoi, Ho Chi Minh City, and central Da Nang city. This program aimed to equip them with communication and teamwork skills and conducted activities in self-discovery and building relationships with peers. Additionally, the adolescents received training and had the opportunity to secure internships and future employment at Shinhan Life.

This year, we collaborated with SIF Career to implement the S-Career career orientation program at four high schools in the Mekong Delta’s Dong Thap and Ca Mau provinces. The program attracted nearly 1,400 students and over 150 teachers and received high praise from participants and experts alike for its practical significance in shaping the career paths of these young individuals, who represent the future generation of Vietnam.

In addition to our long-term CSR projects, we regularly implement charitable programs to support families in difficult circumstances. Shinhan Life has donated approximately VND450 million ($17,600) for the treatment of 30 underprivileged children with leukemia at Children’s Hospital.

Through the concerted efforts of our entire team, Shinhan Life Vietnam was honored as one of the Top 50 Outstanding FDI Enterprises of 2023 at the prestigious 23rd Golden Dragon Awards. The award is given to FDI enterprises that have significantly contributed to the green transition and sustainable development, playing an active role in driving the growth of Vietnam’s economy.

What are Shinhan Life’s goals in Vietnam?

In our third year in the Vietnamese market, our goal is to build Shinhan Life as a beloved life insurance company for the Vietnamese people. To achieve this, we are focusing on building cooperative and mutually-beneficial relationships that contribute to the sustainability of the insurance market and promote broader economic development and social welfare in Vietnam.

With the spirit of One-Team, we are committed to creating a company where our employees and agents feel happy and proud, as we work together to build a successful and impactful Shinhan Life Vietnam.