Dah Sing Bank, Limited (“Bank”) and Sun Life Hong Kong Limited (“Sun Life”), a subsidiary of Sun Life Financial Inc. (TSX: SLF) (NYSE: SLF), today announced an exclusive 15-year bancassurance partnership in Hong Kong (“Bancassurance Partnership”).
Under this Bancassurance Partnership, Sun Life will be the exclusive provider of life insurance solutions to Dah Sing Bank’s 570,000 retail banking customers to fulfill their savings and protection needs at different life stages. The partnership combines Sun Life’s comprehensive and competitive suite of life and health insurance solutions, with Dah Sing’s trusted brand, strong franchise, and distribution network of over 40 branches in Hong Kong. Following the completion of regulatory processes and approvals, distribution of Sun Life products is only anticipated to start in July 2023.
Sun Life is part of a leading international financial services organization with a 130-year history in Hong Kong serving individual and group Clients with an innovative suite of life, health and wealth solutions. Today, Sun Life is a leading provider in the retirement and High Net Worth businesses and was ranked #2 for MPF pension inflows in 2021. 1
Dah Sing Bank has a solid 75-year track record as one of the leading home-grown banks in Hong Kong and is recognized as a trusted financial services brand that delivers quality products and personalized services. It ranks amongst the top 10 in terms of its branch network in Hong Kong and employs close to 2,400 staff in the territory. The Bank’s total assets stood at close to HKD250 billion (C$41 billion)2 at the end of 2021. It is a wholly-owned subsidiary of Dah Sing Banking Group Limited (HKG: 2356), which is listed on the Hong Kong Stock Exchange.
“As a bank with a 75-year history in Hong Kong, Dah Sing Bank has been focusing on delivering comprehensive high quality banking products and services to satisfy the wealth management needs of customers from all walks of life. We at Dah Sing Bank are excited to enter into the Bancassurance Partnership with Sun Life, which has one of the most trusted life insurance brands in the world. With both parties sharing similar aspirations and values, this strategic alliance will create a mutually rewarding opportunity, giving the Bank’s customers the choice of a diverse range of best-in-class life and protection products, and enabling Sun Life to access our fast-growing wealth management franchise in Hong Kong,” said Harold Wong, Managing Director and Chief Executive of the Bank.
“We are delighted to partner with Dah Sing Bank in Hong Kong,” said Ingrid Johnson, President of Sun Life Asia. “We now have more than 20 quality bancassurance partnerships in seven markets across Asia as we expand our reach with world-class solutions and partners who share our commitment to place Clients at the centre of everything we do. We look forward to forging a formidable partnership with Dah Sing Bank as together we help even more Clients achieve lifetime financial security and live healthier lives.”
“This partnership is a natural next step for our business and enhances our distribution capabilities,” said Clement Lam, CEO, Sun Life Hong Kong. “Sun Life and Dah Sing Bank share a long history in Hong Kong and a deep knowledge of the needs of our Clients. Together we are committed to designing the best products and digital solutions for Clients and providing them with simple, fast, and enjoyable experiences at every touchpoint. We look forward to partnering with Dah Sing Bank to help Clients of all ages and stages of life achieve their goals.”
Sun Life will pay an amount of HKD 1.5 billion (approximately C$260 million)3 for this exclusive arrangement, with ongoing variable payments to Dah Sing Bank based on the success of the partnership.
This is Sun Life’s first exclusive bancassurance partnership in Hong Kong and will be a valuable complement to its existing network of over 2,500 expert insurance advisors. Hong Kong is a thriving life insurance hub in Asia and Bancassurance is a key distribution channel, accounting for more than 50% of the life insurance distribution mix.
