Taiwan’s Shin Kong Life Insurance and insurtech firm AIFT have formalised a strategic partnership aimed at launching digital insurance solutions in Vietnam.
The agreement, which includes Shin Kong Vietnam and support from Taiwan’s FinTechSpace program, reflects growing regional interest in integrating digital tools into traditional insurance operations.
The initiative will first focus on Taiwanese expatriates and businesses operating in Vietnam, before broadening to serve the local population and neighbouring Southeast Asian markets.
The companies plan to combine Shin Kong Life’s local experience with AIFT’s technology infrastructure to create a blended distribution model.
Central to the initiative is AIFT’s IXT platform, a cloud-based insurance solution with a modular structure, low-code development environment, and automated rule engine. These features allow rapid localisation and integration with existing insurance systems.
Shin Kong Vietnam has initiated product development in partnership with PetroVietnam Insurance (PVI), Vietnam’s leading general insurer.
Early product offerings include digital applications for auto, health, and travel insurance. The companies developed these offerings within a three-month timeline using the IXT system.
The collaboration also includes plans to expand into commercial and group insurance lines. Discussions are underway for further cooperation with Dai-Ichi Life’s operations in Vietnam.
To support the platform’s infrastructure needs, Chunghwa Telecom’s Vietnam branch has been brought on to provide data centre services and ensure compliance with data sovereignty and security requirements. The three-party model underscores a strategy of combining Taiwanese technology with Vietnamese distribution capabilities.
Shin Kong Life chair Mark Wei (pictured fourth to the left) described the partnership as a move toward cross-border innovation.
“Shin Kong Life has been actively seeking innovative partners with technical capabilities and market experience. AIFT possesses not only a highly flexible technical platform but also the capability to establish operations in the Vietnamese market. We believe this cooperation will mark an important step in the internationalisation of Taiwan’s insurance technology,” he said.
Michelle Ip (pictured centre), CEO of AIFT, emphasised the firm’s ambition to build a connected insurance ecosystem.
“As a tech enabler, we have always believed insurance could be made simpler, more accessible, and closer to life through technology adoption and innovation. AIFT aims to connect insurers with offline and online digital players to create an unprecedented digital ecosystem. AIFT will continue to cultivate the Southeast Asian market and work with partners like Shin Kong Life, which possesses deep operational experience, to drive innovation,” she said.
The announcement comes amid heightened financial pressure on Taiwan’s life insurers, driven by foreign exchange fluctuations and rising global bond yields.
Recent appreciation of the Taiwan dollar – roughly 10% since the end of Q1 – has led to valuation losses on overseas assets.
A Bloomberg analysis highlighted up to NT$18 billion in potential unrealized losses for the sector, stemming largely from unhedged foreign currency positions. Goldman Sachs reported that around 28% of Taiwan’s NT$710 billion in offshore insurance investments remain unhedged.
