Hanwha Life Breaks 30,000 Insurance Agents Milestone with 'Three GA Alliance'

Hanwha Life has become the first major life insurer to surpass 30,000 insurance agents through its 'Three GA Alliance,' formed as part of its 'separation of manufacturing and sales' strategy. This blog explores Hanwha Life’s insurance sales strategy, the achievements of the three GA alliance, and its future plans.  

Hanwha Life has achieved a major milestone by becoming the first major life insurance company to exceed 30,000 insurance agents through its 'Three GA Alliance.' According to the Life Insurance Association, the number of agents under Hanwha Life's three major GAs—Hanwha Life Financial Services, Hanwha Life Lab, and People Life—reached 31,073 by the end of June 2023. This represents a 2,249 (7.8%) increase compared to the 28,824 agents reported at the end of December 2022 and a 3,506 (12.7%) increase from the 27,567 agents reported in June 2022.

This number is about half of the 62,525 total agents for all 22 life insurance companies in South Korea and significantly exceeds the number of agents at other major companies, such as Samsung Life (26,602) and Kyobo Life (14,744).

In April 2021, Hanwha Life became the first major life insurer to implement the 'separation of manufacturing and sales' strategy, leading to the establishment of its large GA, Hanwha Life Financial Services. Previously, Hanwha Life was already operating the large GA Hanwha Life Lab. In January 2022, Hanwha Life further expanded its GA network by acquiring the large GA People Life through Hanwha Life Financial Services, forming the 'Three GA Alliance.'

Hanwha Life Financial Services, its key sales subsidiary, has consistently increased its number of agents, growing from 21,307 agents at the end of June 2022 to 22,609 at the end of December 2022, and reaching 24,493 by the end of June 2023. People Life saw its number of agents increase from 4,050 in June 2022 to 4,215 in June 2023, while Hanwha Life Lab also grew from 2,210 to 2,365 agents in the same period.

Hanwha Life is leveraging this large GA alliance to focus on expanding its high-profitability protection insurance sales and securing new contract margins (CSM). For the first half of this year, Hanwha Life reported a CSM of 996.5 billion won, with a CSM balance of 9.154 trillion won by the end of June.

In the first half of this year, the total annualized premium income (APE) for new contracts was 1.9199 trillion won, with protection insurance APE accounting for about 80% of this amount at 1.5268 trillion won. Hanwha Life has expanded its product lineup to include high-market appeal protection insurance products such as 'Signature Cancer Insurance 3.0,' 'The H Health Insurance,' and 'The H Long-Term Care Insurance.'

A Hanwha Life spokesperson stated, "We will continue to launch new products that meet customer demands, strengthen recruitment of high-performance insurance agents, and enhance sales efficiency based on digital competitiveness to increase the company's long-term value."

Hanwha Life's 'Three GA Alliance' strategy has successfully strengthened its position in the insurance market. With the expanded GA network, Hanwha Life has achieved significant growth in the number of agents and has been successful in increasing protection insurance sales. Looking ahead, Hanwha Life is expected to continue its growth by focusing on customer-centric product development and enhancing digital capabilities. The company’s efforts to meet customer needs and boost its value will be closely watched for future success.