MONTHLY REPORT May, 2011

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MONTHLY REPORTMONTHLY REPORT May, 2011May, 2011

Planning DivisionPlanning Division

David LiuDavid Liu

27 May. 201127 May. 2011

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Market news

Analysis of 2011 Q1 Market Situation

Promotion Campaign- Happy

Anniversary

Adjustment of compensation scheme

Planning project next month

Project this Month

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Market news



Anniversary



Project this Month

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Market News

Prudential Vietnam has just opened a new general agency office in Tan Binh District, HCMC, widening its network to 200 units nationwide including customer service centers, branch offices and general agency and business offices.

So far, Prudential Vietnam is serving customers via multiple channels such as nationwide offices, direct sales agents, hot lines, website and via its partners like Vietcombank, Sacombank, VP Bank, An Binh Bank, MB Bank.

Prudential Vietnam fortify branch network

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Market News

ACE Life open the second representative office in HCM city in the 6 years ACE Life anniversary in Vietnam (4/5/2005-4/5/2011).On May 10, the new head office in Hanoi is opened.

ACE Life has 11 representative office, trade office and outlet in Vietnam’s big provinces and cities.

ACE Life open new outlet and representative

office in HCM and Hanoi

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Market News

The Vietnam Commercial Joint Stock Bank for Foreign Trade (Vietcombank-VCB) officially offered the financial services on VCB-iB@nking with Korea Life Insurance Co Ltd.

Accordingly, the customers can make online payment for periodical insurance fees, automatic payment r making advanced payment for Korea Life in a quick, safe method with no bank charges.

Vietcombank cooperates with Korea Life

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Market news



Anniversary



Project this Month

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Analysis of 2011Q1 Market situation

Our market share of NB premium is rank 7 and increase a lot (1.9%2.7%)

NB Premium and number of agents

CompanyNB

PremiumRank Market share(%)

Growth rate(vs 2010 Q1)

Number of agents

Prudential 259,381 1 (1) 30.9 (31.8) 17% 85,157 (2,618)

Bao Viet 205,180 2 (2) 24.4 (20.9) 23% 21,618 (1,619)

Manulife 100,316 3 (5) 11.9 (10.7) 29% 9,067 (160)

Dai-ichi 79,312 4 (3) 9.4 (11.1) 48% 13,227 (-545)

AIA 78,922 5 (6) 9.4 (9.4) 36% 14,668 (-626)

ACE Life 64,054 6 (4) 7.6 (11.0) 28% 7,496 (-666)

Cathay 23,013 7 (7) 2.7 (1.9) 124% 8,792 (670)

Korea life 18,195 8 (8) 2.2 (1.9) -12% 6,324 (926)

Great Eastern 5,311 9 (10) 0.6 (0.2) 320% 291 (111)

VCLI 3,274 10 (11) 0.4 (0.1) 10183% --

Prevoir 2,566 11 (9) 0.3 (0.9) -46% --

Total 839,524 -- 26% 166,690 (4,267)

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Our market share of total premium is rank 8, we should keep increasing our renewal premium.

Total PremiumCompany

Total Premium

Renewal Premium

Rank Market Share(%)Growth rate

(vs 2010 Q1)

Prudential 1,250,455 991,074 1 (1) 38.4 (41.4) 11%

Bao Viet 979,052 773,872 2 (2) 30.1 (24.7) 5%

Manulife 372,907 272,591 3 (3) 11.4 (11.3) 21%

Dai - chi 204,959 125,647 5 (4) 6.3 (7.7) 24%

AIA 241,067 162,145 4 (5) 7.4 (7.5) 29%

ACE Life 136,854 72,800 6 (6) 4.2 (5.6) 39%

Cathay 28,326 5,313 8 (7) 0.9 (0.7) 117%

Korea Life 29,001 10,806 7 (8) 0.9 (0.6) 40%

Great Eastern 5,780 469 9 (10) 0.2 (0.1) 281%

VCLI 3,274 - 11 (11) 0.1 (0.0) 10183%

Prevoir 5,354 2,788 10 (9) 0.2 (0.3) -34%

Total 3,257,029 2,417,505 14%

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Our premium per policy is closed to market level Our productivity ↑, but it is still less than market level

Productivity index Company Productivity(premium) Productivity(case) Premium per policy

Prudential 3.1 (3.5) 0.7 (1.0) 4.2 (3.6)

Bao Viet 9.9 (8.9) 1.3 (1.6) 7.7 (5.7)

Manulife 11.2 (11.6) 1.5 (2.6) 7.5 (4.5)

Dai - chi 5.9 (4.6) 0.8 (0.8) 7.6 (6.1)

AIA 5.3 (5.1) 0.9 (0.9) 5.6 (5.8)

ACE Life 8.2 (7.9) 1.3 (1.2) 6.3 (6.3)

Cathay 2.7 (1.8) 0.4 (0.4) 7.2 (4.6)

Korea Life 3.1 (7.2) 0.5 (1.0) 6.4 (7.1)Great

Eastern22.6 (1.5) 1.3 (0.2) 17.9 (9.8)

VCLI -- -- 1.0 (0.2)

Prevoir -- -- 0.3 (0.7)

Total 5.1 (5.2) 0.9 (1.1) 5.5 (4.5)

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The product distribution in the market does not change obviously

The main product are still endowment and investment product

Endowment investment Term Whole life Annuity rider

2011Q1 49.2% 40.0% 2.8% 0.5% 0.1% 7.5%

2010 48.2% 42.6% 2.5% 0.6% 0.1% 5.9%

Product distribution

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Market news



Anniversary



Project this Month

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Promotion Campaign-Happy Anniversary

Campaign period: 2011/6/16~2011/8/10

(7th ~8th working month of 2011)

Participant: Customers and Agents who sign the agency contract, include: IA, SAS↑, SM, Pre-BM, BM

Participant Product: All Cathay Product (except Single Premium Product)

In order to encourage customer buy more rider

and increase premium per policy

Promotion Activity: Lucky Draw

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Participant qualification:

Customer buy 1 policy+1 rider and First Premium≥6 M

Mark1:The Policy must be underwritten and accepted before 2011/8/22.

Mark2:The Policy owner or insured could not be the Cathay agent, staff or their relatives.

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Participant method:

1. If customers meet the participant qualification, they and their agents could have 1 lucky draw separately.

2. More ChancePart First premium Rider

Standard Every 2M in excess Every extra rider

More chance 1 1

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Example :

Customer buy 1 policy + 2 riders, first premium 10M

Drawing chance:

4 drawing chance

Part Qualification First premium Rider

Case1 policy + 2 riderFP=10M

FP=10M 2 rider

Standard1 policy + 1riderFP≥6M

FP≥6M 1 rider

chance 12

(Every 2M in excess )1

(Every extra rider )

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Customer prizes

Prize structure Item Amount

1st prize Notebook DELL INSPIRON 1

2nd prize Microwave oven ELECTROLUX 5

3rd prize Fruit juicer PANASONIC 25

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Prize structure Cash Prize Amount

1st prize 2,500,000 VND 5

2nd prize 500,000 VND 25

Agent prizes

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Drawing ceremony date

Customers Agents

2011/8/26 (Monthly meeting)

2011/8/25 (CRD meeting)

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Market news



Anniversary



Project this Month

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In order to improve organization development,

company set up some tracing reward:

1. Agent: 5% FYC tracing bonus

2. Organization:

Mark: Tracing PFYP, number of people of the organization, training bonus

Sales unit:316620, Agency Branch office: 3250from March 2010 ~ March 2011

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Some mother-units have low productivity after increasing a

sub-unit, But mother-units still could pass the assessment

by sub-unit tracing PFYP in tracing period:

1. Mother-unit is easy to lapse after tracing period2. This unit-increase could not lead our total PFYP↑

Sales Unit(SSM)PFYP: 20M

Mother-unit(SSM)PFYP: 0M

Sub-unitPFYP: 20M

Pass

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1. Sales unit (All levels):

During the assessment and promotion period, the average monthly PFYP of the Sales Unit (exclude sub-unit tracing PFYP) shall reach 7 million

New standard of assessment and promotion

Mother-Unit(SSM)PFYP: 10M

Sub-UnitPFYP: 10M

Pass FailMother-Unit(SSM)PFYP: 0M

Sub-UnitPFYP: 20M

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2. Agency Branch Office ( All levels):

During the assessment and promotion period, the average monthly PFYP of the Branch office (exclude sub-branch tracing PFYP) shall reach 100 million

3. Shorten assessment time of SM

Revise Semi-yearly assessment to quarterly assessment

Original: 1st & 7th working month

After revision: 1st, 4th, 7th, 10th working month

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After revision, the first assessment time:

1. Sales unit:

2011.10th working month

Assessment period: 2011.7th ~9th working month

2. Agency Branch Office:

2012.1st working month

Assessment period 2011.7th ~13th working month

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Market news



Anniversary



Project this Month

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New Product Design

Planning Project Next Month

WomanProductWomanProduct

Provide protection for female:Marriage, female disease, and saving Provide protection for female:Marriage, female disease, and saving

Critical Illness

Critical Illness

Provide Protection for critical illnessProvide Protection for critical illness

Endowment with cash

Endowment with cash

Provide different investment + protection choiceProvide different investment + protection choice

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GA (General Agency)

Assessment

Review Agent System

Promotion Campaign – Happy

Anniversary

Planning Project Next Month

MONTHLY REPORT May, 2011

Documents

Transcript of MONTHLY REPORT May, 2011