UK-based insurance giant, Prudential Plc, said its Thai unit has entered into a strategic bancassurance partnership with TMB Bank Public Company Limited.
The deal will involve an initial term of 15 years to provide Prudential’s leading suite of health and wealth solutions to TMB’s large and growing customer base.
The new agreement significantly expands and extends Prudential’s successful partnership with Thanachart Bank to TMB Bank, which, following their merger, is the sixth-largest bank by deposits and fourth-largest bank by branches in Thailand.
Thailand is the second-largest life insurance market and the largest mutual fund market in ASEAN, and has significant growth potential. The bancassurance partnership strongly complements Prudential’s top-five market position in the mutual fund market. It also deepens the strong relationship with TMB established through Prudential’s joint venture asset management partnerships¹, where Prudential has a 12 percent share² of the Thai mutual fund market. Together, both partners now have a high-quality platform to deliver best-in-class, holistic health and wealth solutions to 9 million TMB customers equivalent to 17 percent of the country’s adult population³.
Prudential said the strategic partnership with TMB enables Prudential Thailand to achieve the scale and presence in the life insurance market, consistent with its ambition of being a leading player. It is also strongly aligned with TMB’s own aspirations of being a partner in its customers’ lives in providing a suite of insurance solutions and digital services.
Nic Nicandrou, Chief Executive of Prudential Corporation Asia, said, “We are delighted to enter into a long-term strategic life insurance partnership with TMB, further complementing our asset management relationships in Thailand. This partnership combines TMB’s unrivalled local market knowledge and reach with Prudential’s significant expertise in life, health and savings solutions. It will provide Thais with access to a fast-growing and expanding digital platform and best-in-class holistic solutions to both protect their families and grow their wealth. We are also delighted to contribute to Thailand’s economic and social development by investing in local capital markets and by creating significant employment opportunities.”
Piti Tantakasem, Chief Executive of TMB, said, “We look forward to taking our life insurance business to the next level with Prudential Thailand, as we provide innovative offerings to customers across the country. At the heart of this partnership is a shared commitment to making a difference in our customers’ lives by addressing their unique needs, ultimately enhancing their financial wellbeing and supporting the country’s sustainable development.”