INSURANCE

Thanachart Life brings in new products

Nuntawun Polkuamdee

Thanachart Life Assurance aims to increase its premium income this year by 7% to 1.35 billion baht by focusing on new products gained from the Bank of Nova Scotia, the new strategic partner of parent Thanachart Bank.

Chartchai Parasuk, the managing director of Thanachart Life, said the company's existing savings products were already well received. But the company now hopes to achieve even stronger growth following last month's deal that gives Scotiabank of Canada a 25% stake in Thanachart Bank for 7.1 billion baht.

"We hope that new products from Scotiabank would appeal to local investors, particularly retirement savings and disability products," Dr Chartchai said.

He said Thanachart Life's strengths were now bancassurance and credit life products, policies that cover the outstanding debt of policymakers in case of death.

"The competition remains high in the industry. But we see continued growth from our link with Thanachart Bank and other subsidiaries, and will continue to develop innovative products to attract investors," Dr Chartchai said.

Thanachart Life currently has an investment portfolio of around four billion baht, with 80% to 90% invested in liquid, low-risk assets such as government bonds and cash due to ongoing market uncertainties. The investment portfolio is projected to grow this year by 700 million baht.

The company posted a net profit last year of 105 million baht, with a return on equity of 15%.

Bangkok Post

Last Updated : Saturday April 07, 2007