Allianz, a global insurer, has announced its intention to enter the general insurance sector in Vietnam through a digital joint venture (JV), forged in partnership with FPT Group as part of the insurer's ambitions to expand its presence in SE Asia.
Vietnam-headquartered FPT Group will bring its techonological and IT expertise to the JV as Allianz seeks to develop its digital insurance productsin the nascent South-East Asian market.
In a memorandum of understanding, the two sides pledge to establish a new general insurance company, locally based in Vietnam.
Vietnam is one of Asia's fastest-growing economies, with high levels of online and mobile use across the country.
FPT has more than 10 years' experience working in the insurance sector.
Sergio Balbinot, member of board management at Allianz SE, said: "We are delighted to embark on the next stage of our partnership with FPT Group at an exciting time for the development of the Vietnamese economy."
"Allianz is well-placed to support the protection needs of local consumers by delivering innovative digital insurance solutions for a demographic ready to adopt them."
Commenting on the joint venture, Truong Gia Binh, founder and executive chairman of FPT Group, added: "FPT and Allianz are the perfect match to address the needs of the growing Vietnam market. Allianz has the protection expertise to provide accessible and innovative insurance services, while FPT provides the local knowledge and a digital network reaching an expanding, educated and youthful population.
"Our partnership is exciting for the future growth potential of Vietnam, and we look forward to many successes."