Bangkok--23 Aug--Krungthai AXA
Mike Plaxton, Chief Executive Officer revealed that Krungthai AXA Life continued its strong business growth 2006 — 2010 CAGR of 49% in terms of total premium income. This success came from the great contributions from our people. They are truly engaged. Excellent support from our JV partner — Krungthai Bank. Total commitment from our employees.
David Korunic — Chief Financial Officer stated that:
- Agency new premium productivity is at least 2 times that of its nearest rival and 7 times the market average resulting in a growth of CAGR 22% 2006 to 2010. YTD June 2011 the channel has grown 35%.
- Bank channel has a new business growth 2006 to 2010 CAGR of 71% and YTD June has remained flat over last year.
- The alternative channel has come on stream and now is a solid contributor to the business.
- Total premium income has remained strong with average CAGR growth rate from 2006 to 2010 at 49%. YTD June 2011 total premium income has grown at 17%.
- Krungthai-AXA life’s profits have emerged strongly as it passed critical mass. From the 2009 earnings the first dividends were paid to shareholders. From an accumulated loss totalling Bt 1 billion in 2006 we delivered a profit of Bt 1.5 billion in 2010. YTD June 2011 profits exceeded the same period last year by 46%.
- The company has placed emphasis on expense control over the past few years such that its Management Expense Ratio (MER) has fallen dramatically from 2006 to 2010. Reduced from 20% to less than 7% - one of the best in the Thai Market. This has continued into 2011 with June ending 7%.
- Krungthai-AXA Life is the fastest growing company in terms of market share from 2006 to 2010 in the top 10 competitors.
Mike Plaxton further stated that as can be seen 2011 is another excellent year. Our confidence in the performance of Krungthai AXA going forward is supported by the engagement of our talented distributors and employees, the trust of our clients towards our professional distributors, our products and services and strong distribution support that enables all channels to grow their business for the past 4 consecutive years. Four years ago I promised you that we would grow quickly and I told you that we would employ a strategy focused on people. The above results prove that we did deliver a great set of results. Today I would like to take this opportunity to introduce to you our key talents who have been conrtibuting to the success of our business for the past 4 years;
1. Ms. Pimpaporn Apasiripol, Vice President — Head of Customer Programme — Marketing
2. Mr. Pornsak Suwanatup; Senior Vice President — Agency
3. Ms. Wanee Duangchalomnin; Vice President — BankAssure
4. Ms. Jitlada Sirachadapong; Legal Manager and DAI Project Leader — Finance
These four are key talents who have been contributing to the success of Krungthai AXA Life so far and will play a critical role to make Krungthai AXA Life becoming the preferred company for our customers, our distributors, our employees and our shareholders. The real power behind our growth is people like these — top quality and totally committed people.
To become the preferred company for our Customers, Pimpaporn Apasiripol, Head of Customer Programme said that the company has the core strategy of delighting customers aiming to gain higher customer preference and intention to buy. Our strategy was not set from the company but from the ‘Voice of Customers’ by transforming their comments and feedback given from customer research and then transform them to fit with activities in every customer touch point from the first day they ‘shop’ all the way through to policy maturity. For the past 3 consecutive years, we have been providing one special offer and service to our customers and, in fact, all Thais including non-customers with the "Free Nationwide Caravan Health Check". This is an important proof point of Krungthai-AXA Life.
This is a proof that truly demonstrates our attentiveness, not just words towards our customers and all Thai people. This initiative was extremely successful with positive responses from customers and distributors as well as our employees.
So far more than 50,000 customers and non-customers have checked their health and received financial advice from 73 Caravan events organized across Thailand since 2009. In October, we will have the biggest Caravan Health Check Expo in Chiangmai province in conjunction with the Thai Red Cross for blood donations and 3 local network hospitals.
To become the preferred company for our Distributors, Pornsak Suwanatup, Senior Vice President — Agency said that our Agency channel continued to grow year on year as driven Krungthai-AXA Life’s Agency Blueprint (TAB) that we believe is the most effective in the Thai market. TAB focuses on delivering best practices and differentiates us from our competitors on sales compensation. We have proven our commitment to providing the best career, best compensation and best support to our agency force. The Krungthai-AXA Life agency channel has grown significantly over the past 4 years with a CAGR of 22%.
To help grow our strong distribution channels, Krungthai-AXA Life Academy plays a very important role in developing professionalism through high quality trainers and intensive programmes. Currently, we have 4 regional academies throughout the country including Central region — Bangkok, North — Chiang Mai, Northeast — Khon Kaen, South — Songkhla.
To becoming the preferred company for Distributors and Shareholders, Wanee Duangchalomnin, Vice President — Head of Operation Bank Assurance added that Krungthai Bank is a very important and successful element of our multi-distribution strategy. Krungthai Bank is not only a shareholder of our business but is a true business partner in every sense of the word. Currentlly, we have more than 7,000 licensed brokers providing financial advice and services through more than 980 branches across Thailand.
We have a very experienced team of people across Thailand to support Krungthai Bank and its customers. This team is committed to suporting new customers to join the Krungthai AXA Life family and to provide direct service to existing customers right across Thailand.
Lastly, to becoming the preferred company for employees and all Thais, Jitlada Sirachadapong, Legal Manager and DAI Project Leader further added that the company continues to implement its exisitng corporate responsibility projects; fabric policy covers sourced from 4 rural regions, SCAD, support village development in cooperation with PDA, Roto sponsorship to name a few. We have helped to protect the Thai coast line by planting Mangroves. This year we have also identify the next proof point of Corporate Responsibility to our employees and the Thai people by launching the “Diversity and Inclusiveness (DAI)” project. Krungthai-AXA Life scores well on age and gender diversification in our search for new talent. We identified that one sector of talent was being overlooked — the disabled. The DAI project has resolved this issue and now we employ 8 disable people from the Mahathai Foundation to work in different areas of our business. These people were chosen not because of their disability but because of their talent. We opened the recruitment doors to include them and they won the right to be our employees by meeting the criteria we apply to all our new recruits. We will grow their skills and we know with their special determination they will contribute to the future success of our company.
In addition, Saifon Sutchasila, Chief Marketing Officer also added that apart from the proof of service quality, distribution support and corporate responsibility, Krungthai-AXA also focuses on delivering the proof by offering products that meet the evolving needs of our customers. This year, we have introduced a new health rider MEA+ and retirement packages (Trongjai, Sud Khum, Sookjai Bumnan, and Sookjai Waikasien). And yesterday, we just launched a new single premium product “Sub Mun Kong” with 5, 7, and 10 years coverage period that gives a total benefit of up to 148%* of sum issured (*subject to coverage period and market investment return).
We have a belief in the power of people to make the critical difference to our business and therefore we invest in them as the foundation of our strategy. Today you are seeing the returns of that investment through our results. People deliver results not companies. Krungthai-AXA Life is a significant life insurer in Thailand — a company that cares about Thailand and its people. We are socially responsible as judged by our actions not our words, said Plaxton.
For more inquiries, please contactBrand & Communication, Krungthai-AXA Life Insurance
+66-2770-9029 , 9025
Email:
[email protected]
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