PVI Insurance Corporation and Seoul-based NongHyup Property and Casualty Insurance (NongHyup P&C) on Tuesday signed a Memorandum of Understanding (MOU) to fortify their comprehensive business cooperation at PVI Insurance’s headquarters in Ha Noi.

The five-year agreement is designed to reinforce collaboration in several key areas, such as expanding reinsurance capabilities, leveraging the extensive customer networks of both companies, and fostering innovation in the development of new products and services.

"NongHyup Insurance is a professional and exclusive insurance company to provide insurance products for farmers in Korea. This is also the business area PVI wishes to develop in the future," said Duong Thanh Danh Francois, chairman of PVI Insurance, at the signing ceremony.

"The cooperative agreement is expected to unlock business opportunities across the non-life insurance and reinsurance domains, capitalising on the strengths of each company's customer base, networks, and services for mutual benefit," he said.

With NongHyup Financial Group, NongHyup Bank, Nonghyup Securities and other Korean companies already operating in Viet Nam, CEO of HongHyup P&C’s Choi Mun Seob said the company also looks forward to entering the Vietnamese market.

"Leveraging Viet Nam's burgeoning insurance market, along with NongHyup Insurance's expertise and capacity, we are committed to creating favourable conditions for mutual growth," he said.

According to Nguyen Xuan Hoa, general director of PVI Holdings, agriculture remains a vital sector in Asian countries, including Viet Nam, where approximately 65 per cent of the population are farmers or reside in rural areas, this cooperation agreement holds great significance. He hoped following the signing ceremony, PVI and NongHyup will initiate specific projects to bring the agreement to life and serve the production and business plans of both parties.

It is worth noting that the comprehensive business cooperation agreement was previously signed at NongHyup's headquarters in Seoul last month.

PVI is Viet Nam’s largest non-life insurance company both in terms of revenue and network. The company is also the first and only enterprise in Viet Nam to receive a financial credit rating of A- (excellent) by AM Best. Meanwhile, NongHyup P&C was a member of NongHyup Financial Group, the financial arm of the Korea’s National Agricultural Cooperative Federation. It is an exclusive provider of government policy insurance products for Korea's cooperative members. — VNS