FWD Hong Kong recorded growth in new business case count and new business sales from Mainland Chinese visitors in the first half 2023, both surpassing industry average1



  • 34% YoY growth in new business case count1
  • New business sales from Mainland Chinese visitors ("MCVs") grew by 88x1 and recovered to over 90%2 of the pre-pandemic period
  • Demonstrated steady progress of FWD's business strategy centred around Hong Kong while seizing opportunities from the Greater Bay Area

HONG KONG SAR - Media OutReach - 7 September 2023 - FWD Hong Kong ("FWD") ranked fourth1 in new business case count in the first half of 2023, up 34%1 year-on-year, according to the Provisional Statistics on Hong Kong Long Term Insurance Business January to June 2023 published by the Insurance Authority. The growth is higher than industry average increase of 17%1. New business case count grew 61%2 in comparison to the first half of 2019 prior to the pandemic and FWD's market share saw a steady increase2. Meanwhile, FWD's first year premium in the first half of 2023 recorded 81%2 growth compared to the same period in 2019 prior to the pandemic, ranking third3 by growth in Hong Kong.

FWD Hong Kong H1 highlights (1).jpg

Rooted in Hong Kong with a prime focus on expanding local business while seizing opportunities in the Greater Bay Area

FWD's rapid business growth demonstrates the successful implementation of its strategy of providing the protection products to close the protection gaps and addressing the growing demand and opportunities from Hong Kong and the Greater Bay Area.

New business sales from MCVs has increased by 88x, ahead of the industry average1

As a result of its multi-channel distribution network, FWD was well-positioned to address the growing demand for protection products from both the people of Hong Kong and MCVs following the full resumption of cross-border travel between Mainland China and Hong Kong earlier this year. In the first half of 2023, the new business sales to MCVs significantly increased by 88x compared to the same period in the previous year, slightly above the industry's average growth of 82x1. FWD's new business sales from MCVs has recovered to over 90% of pre-pandemic levels in the same period of 2019 in comparison to the industry average of 86%2.

Ken Lau, Managing Director of Greater China and Hong Kong Chief Executive Officer, FWD, said, "FWD's continuous business growth is a testament to our customer-focused strategy, ensuring we're delivering innovative and digital-enabled products and services to support the physical health needs and mental well-being of the public."

He added, "Moving into to the second half of the year, we anticipate demand will remain robust for physical health and mental well-being protection products and wealth planning solutions. FWD remains dedicated to meeting the needs of the Hong Kong market, and actively addressing the vast opportunities created by the Guangdong–Hong Kong–Macau Greater Bay Area collaboration. We look forward to extending our insurance products services to a wider audience, bridging the protection gap in the market, and delivering even greater value to our customers."

Multi-channel distribution strategy fuels business growth with efficient claims exemplifying a strong commitment to customers

FWD's distribution channels delivered exceptional performance in the first half of 2023:

- Its online and direct sales platform continues to lead the industry, with new business case count ranking first4 in Hong Kong;

- Tied agency force continues to rank first by net growth in life insurance intermediary headcount in Hong Kong5.

FWD continues to demonstrate the strength of its strategic partnership network and its multi-channel distribution strategy, including its bancassurance and brokerage channels, enabling customers to choose their preferred ways to enjoy insurance coverage.

Claims settlement is a pivotal part of our customers' insurance journey with us. In 2022, FWD boasted an impressive overall claims settlement ratio of 96%6, with Voluntary Health Insurance Scheme (VHIS) claims settlement ratio achieving 99%6. Complementing the ongoing strengthening of FWD Care rehabilitation service, FWD is committed to providing customers with increased accessibility and comprehensive coverage.

Financial strengths highly recognised by international rating agencies

Moody's recently reaffirmed the A3 Insurance Financial Strength Rating (IFSR) of FWD (namely, "FWD Life Insurance Company (Bermuda) Limited") and upgraded its outlook from stable to positive. Meanwhile, Fitch Ratings maintained the FWD's 'A' Insurer Financial Strength (IFS) Rating with a stable outlook. These ratings reflect FWD's strong financial position, healthy business profile and disciplined approach to growth.


1 Provisional Statistics on Hong Kong Long Term Insurance Business - January to June 2023, Insurance Authority of Hong Kong. New business sales from Mainland China visitors refers to annual premium equivalent from Mainland China visitors.

2 Provisional Statistics on Hong Kong Long Term Insurance Business - January to June 2019 and 2023, Insurance Authority of Hong Kong. New business sales from Mainland China visitors refers to annual premium equivalent from Mainland China visitors.

3 Provisional Statistics on Hong Kong Long Term Insurance Business - January to June 2019 and 2023, Insurance Authority of Hong Kong. The calculation covers top 15 insurers by market share of first year premium of individual business.

4 Provisional Statistics on Hong Kong Long Term Insurance Business - January to June 2023, Insurance Authority of Hong Kong. The calculation includes long-term life individual business, general insurance among multi-channel life insurers only and is FWD's own assessment based on its understanding on market information only. FWD does not take any responsibility for any errors or omissions.​

5 Pi Financial Services Intelligence report - June 2022 to June 2023.

6 Only calculates the cases received and settled in 2022. Full cover plan includes vPrime Medical Plan (VHIS Plan Certification Number: F00045), vCANsurance Medical Plan (VHIS Plan Certification Number: F00051) and vTheOne Medical Plan (VHIS Plan Certification Number: F00067) that are underwritten by FWD (VHIS provider registration number: 00036). Includes cases of first claim with FWD only and disregard deductibles.




Hashtag: #FWD

The issuer is solely responsible for the content of this announcement.
About FWD Group
About FWD Group
FWD Group is a pan-Asian life insurance business with more than 11 million customers across 10 markets, including some of the fastest-growing insurance markets in the world. FWD reached its 10-year anniversary in 2023. The company is focused on making the insurance journey simpler, faster and smoother, with innovative propositions and easy-to-understand products, supported by digital technology. Through this customer-led approach, FWD is committed to changing the way people feel about insurance.

For more information please visit


About FWD Hong Kong
FWD Hong Kong is part of the FWD Group, a fast-growing pan-Asian life insurer with more than 11 million customers across 10 markets, including some of the fastest-growing insurance markets in the world. FWD is a top 3 life insurer by new business ­first year premium in Hong Kong*.

FWD Hong Kong has been assigned strong financial ratings by international agencies. It offers life and medical insurance, employee benefits, and financial planning.

FWD reached its 10-year anniversary in 2023. The company is focused on making the insurance journey simpler, faster and smoother, with innovative propositions and easy-to-understand products, supported by digital technology. Through this customer-led approach, FWD is committed to changing the way people feel about insurance.

For more information about FWD Hong Kong please visit .

* Source: Provisional Statistics on Hong Kong Long Term Insurance Business - January to December 2022, Insurance Authority of Hong Kong. The calculation combines individual and group businesses, and non-bank insurers.

SOURCE:

FWD Hong Kong

CATEGORY:

Insurance

PUBLISHED ON:

07 Sep 2023

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