First A.M Best’s financial rating of A- (Excellent) for a Vietnamese insurance company

Wednesday, 08/03/2023 16:45
(CPV) - PVI Insurance is the unique Vietnamese insurance company being affirmed prestigious international certification of financial rating of A- (Excellent) by global credit rating agency A.M. Best.

Since establishment 27 years ago, PVI has had a lot of changes in both quantity and quality: from the charter capital of less than 22 billion VND, now it is 3,300 billion VND, increasing 150 times; From the initial asset of 34 billion VND, now it is 19,763 billion VND, an increase of nearly 600 times. PVI, from an insurance business with a narrow business scope, now has a full range of insurance services to do business around the world.

Throughout those years, the core values of PVI remains. Over the past 27 years, it has not only been in the insurance business, but also has advised and provided risk management solutions to firms and individuals Clients. PVI provide highest standards possible in the market.

Photo: PVI 

For better business operation, despite having a very strong founding shareholder, Petrovietnam - Vietnam's No. 1 economic group, PVI kept looking for more international shareholders, with HDI/Talanx (Germany) and recently IFC – a member of the World Bank Group, to gain the business international standards level. In fact, since HDI became a shareholder in 2011, the more this major shareholder has been owning more shares, the deeper involvement in operations from HDI and the better performance PVI would realize.

Also for better business sustainability, while being ranked No. 1 in terms of market share in the period of 2014 - 2016, PVI Insurance was still not satisfied and continued to make drastic changes to take the No. 1 position in terms of business efficiency in the period of 2019 - 2021. And not only that, PVI always strived to do better, achieved even higher efficiency. Therefore by the end of 2022, PVI Insurance has gained the No. 1 position in terms of both market share and efficiency, as well as other positive financial indicators.

The aspiration for the No. 1 position in Vietnam's insurance market has been realized. With these achievements, now PVI Insurance is really a sparkling star not only in the insurance market but also in the Vietnamese business community in general. But with the mentality of always moving forward, always developing, entering a new stage of growth, PVI Insurance intends to reach out further to the regional and international markets, seek new opportunities, and gain new achievements. For that reason, PVI Insurance has renewed its brand with the open star image. A star willing to open up to new ideas and open up to the world.

Photo: PVI 

In order to achieve new successes, in addition to great will and ambition, PVI Insurance also needs to enhance its own strengths. And recently, it got a prestigious international certification of financial rating of A- (Excellent) affirmed by global credit rating agency A.M. Best. The rating of A- (Excellent) is a fulcrum, an important certificate for PVI Insurance to realize its further vision in a new stage of development.

The certificate is also a 'recognition' for its efforts over the past period: 5-year average return on equity (in the period of 2017-2021) is 17%; sound and effective investment operations; changing to the business strategy of "prioritizing focus on efficiency and only growing in size if it is profitable" with corresponding adjustments in organization, operation, and business policies; applying international standards on all operational processes with technical support from HDI; applying international financial reporting standards IFRS 17 – this is the first time a Vietnamese insurance company has applied an international standard reporting system to provide shareholders, customers and the public with most transparent, clear information about its operations. 

Looking forward to new success stories from PVI Insurance in its new stage of growth./.

Khac Kien