Simultaneously launching new products, what will happen to insurance contracts purchased before July 2025?

In the first half of 2025, life insurance companies in Vietnam actively restructured their product portfolios according to Decree 46 of the Government.

Life insurance companies simultaneously launch new products, products sold before July 2025 still have guaranteed benefits - Photo: TTD

From this month, according to new regulations, investment-linked insurance products can only integrate death and total permanent disability benefits.

Additional benefits such as critical illness, accident, and hospital fees will be separated, helping customers to choose easily and protect their benefits better.

New product launch

In response to the new requirements, life insurance companies said that since the beginning of 2025, they have proactively adjusted their product portfolios to adapt to new regulations and market needs.

To date, most companies have had at least one new product on the shelves that complies with the new regulations of the Law on Insurance Business, and increases benefits for customers.

Mr. Ngo Trung Dung - Deputy General Secretary of the Vietnam Insurance Association - said that the adjustment according to Decree 46 is an important restructuring step of the entire industry, aiming to increase transparency and protect the rights of insurance participants, while clearly separating life insurance products and financial investments.

With this change, insurance companies have been actively implementing new product categories towards streamlining, transparency, ease of understanding and providing more practical protection for customers.

Separating risk benefits for each specific product will help insurance buyers proactively choose benefits according to their needs, while minimizing future disputes.

Regarding insurance contracts that were issued and still valid before July 1, Mr. Dung said: "Customers' rights will not be affected at all and insurance companies will still guarantee all rights and benefits as initially committed.

Annually renewable supplementary insurance products are still allowed to be renewed according to regulations to provide sustainable protection for customers."

Nearly 27,500 billion VND of insurance will be paid in the first half of 2025

According to data from the Vietnam Insurance Association, in terms of the general market, in the first half of 2025, total insurance premium revenue reached more than VND 67,200 billion, of which new exploitation premiums reached more than VND 11,700 billion. The number of effective contracts reached more than 11.7 million (+1.06% over the same period).

Total assets of the entire industry reached over VND910,800 billion (+11%), with VND787,000 billion reinvested into the economy (+10%). Equity and charter capital of enterprises both recorded stable growth rates of 5.33% and 1.32%, respectively.

Also during this period, insurance benefit payments were estimated at nearly VND 27,500 billion (+4.4%), demonstrating the important role of life insurance in providing timely support, minimizing the financial burden for customers facing risks and events in life.

In addition to innovating product portfolios, insurance companies continue to apply technology to improve customer experience, enhance consultant training, upgrade and expand office networks...

Source: https://tuoitre.vn/dong-loat-tung-ra-san-pham-moi-hop-dong-bao-hiem-mua-truoc-thang-7-2025-se-ra-sao-20250714150100391.htm