Good growth potential for Asia’s leading insurance giant

With more than a century of history, AIA occupies a leading position in Hong Kong, Thailand, Singapore and Malaysia, offering a suite of life and health protection products that target middle-class and affluent customers. Additionally, China offers large untapped opportunities as it continues to expand its footprint across the country.

With AIA’s strong reputation, the group has built a high-quality agent network, which is one of the widest moats for a life insurance business. It is also the most effective – and profitable – channel to sell protection-based life insurance products. Its franchise has remained solid through challenging periods like Covid, natural disasters, and various episodes of social unrest and economic downturns in different Asian markets. The company has demonstrated a trustworthy track record of settling claims, even during extreme situations.

In China, management has been consistent in their strategy to expand AIA’s footprint, strengthen the distribution channel and return value to shareholders. The company has added to its network of agents, partnered with banks, invested in digital capabilities and aligned its internal structure to the customer journey. The China business is now a significant portion of the group’s value of new business despite only having low single-digit market share – which suggests plenty of room to grow.