Hana Financial to set up digital insurance unit in June

Hana Financial Group, South Korea’s third-largest banking group will launch a digital insurance unit next month through its newly acquired subsidiary, The-K NON-Life Insurance, according to industry sources Wednesday.

Branded as Hana General Insurance, the group’s new affiliate, previously a general insurance firm focusing on auto insurance, will serve as a digital insurance company starting June 1 under the leadership of Kwon Tae-gyun, former vice president of Hana Capital. 

Hana General Insurance’s two major business strategies are “bancassurance” and “cardsurance,” whereby the company partners with the group’s bank and credit card unit, respectively in a bid to sell their insurance products to a wider range of clients via its digital platform, officials said. 

The company plans to launch all-in-one mobile application in which its subscribers not only have access to Hana General Insurance’s services, but also those of Hana Bank. Even the long-term insurance services will become available online. 

Earlier, Hana Financial had purchased a 70 percent stake in The-K Non-Life Insurance from the Korea Teachers’ Credit Union for 77 billion won ($62.7 million). Founded in 2003, it has since offered long-term, non-life insurance products. Upon the acquisition approval from the Financial Services Commission last month, the auto insurance firm was aligned as a subsidiary. 

By Choi Jae-hee (cjh@heraldcorp.com)