Title: BANCASSURANCE DEVELOPMENT – SUSTAINABLE DEVELOPING TREND IN VIETNAM
Author:
Nguyen Bich Ngoc
Abstract:
Bancassurance, the distribution of insurance products through banking channels, has been transforming the insurance industry in many developed countries worldwide. Despite facing numerous challenges, Vietnam is still considered a market with significant potential to develop the Bancassurance model. In recent years, in Vietnam, the revenue from non-interest income activities at many large and small banks has been increasing significantly, and the non-interest income of banks is expected to grow well, mainly coming from bancassurance. This is seen as a sustainable development trend for banks, insurance companies, and the economy in general, as banking operations, despite contributing a significant source of income, also come with many risks such as liquidity risk, ethical concerns, procedural issues, etc., while service business activities, forex, insurance, etc., are very promising and have the potential to bring more stability and sustainability. The article analyzes the development of Bancassurance services worldwide, evaluates the current situation of Bancassurance services in Vietnam, and derives implications for policy solutions to promote this service in Vietnam.
Keywords: Bancassurance, banking, insurance, sustainable development, Vietnam.
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