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31st May 2026

89% of Vietnam survey respondents consider life insurance 'highly important'

Vietnamese people are paying increasing attention to financial planning, family protection and preparation for long-term risks, with up to 89% of respondents viewing life insurance as “highly important in daily life”, according to the Insurance Association of Vietnam (IAV).

However, life insurance is still largely perceived as a supplementary financial safeguard rather than a core risk-management tool or a long-term investment solution, the association said in its Public Opinion and Community Engagement Policy Research Quantitative Report.

The findings were based on a survey conducted by market research firm IFM Research, covering 1,265 respondents in both urban and rural areas across Hanoi, Ho Chi Minh City, Hai Phong, Danang and Can Tho.

Strong recognition of life insurance as an essential need

89% of respondents say life insurance is highly important in daily life. The figure reached 91% among life insurance owners, 86% among non-life insurance owners, and 91% among life insurance lapsers.

"The findings provide an encouraging signal, confirming that life insurance is increasingly recognized as an important financial solution in people’s lives - not only among existing customers but also among those who have not yet purchased coverage," IAV stated in a release on Thursday.

At the same time, the study recorded relatively positive levels of individual understanding of life insurance. 58% rated themselves as having a good understanding of life insurance.

The proportion was broadly consistent across age groups: 57% among the group aged 22-29 years old, 59% among the group aged 30-40 years old, and 58% among the group above 40 years old.

However, the main reasons why life insurance is considered necessary were tied to fundamental household needs. 57% said life insurance helps protect against risks, illness, accidents and death, while 45% highlighted its role in maintaining financial stability and support for the family.

In practice, a gap remains between recognizing the value of life insurance and incorporating it proactively into financial planning. Rather than using insurance as a forward-looking risk management tool, most people continue to adopt a defensive financial mindset.

When unexpected events occur, respondents said their first solutions would be to use savings (67%), reduce spending (53%) or seek additional income sources (39%). This suggests that life insurance is still largely perceived as an additional layer of protection rather than a core component of personal financial strategy.

Ralf Matthaes, managing director of IFM Research, said: "Public financial behavior remains primarily defensive. Although demand for and perceptions of life insurance are highly positive, actual ownership remains relatively low. Life insurance is still viewed mainly as supplementary financial protection rather than a core risk-management tool or a long-term investment solution.

"This presents both a challenge and an opportunity for brands to reshape the market through simpler policy wording, greater transparency, higher-quality advisory services and more structured financial education".

The study also showed that the main motivations to buy life insurance are risk protection, medical expense coverage and safe savings, while investment considerations remain less important.

Among policyholders, the most important decision factors included reasonable fees, reputable companies, products that meet needs, reasonable compensation payout, clear benefits, and fast claims processes. Younger individuals prioritize long-term contract maintenance, while the parent groups emphasize wide coverage scope.

Key barriers to life insurance participation included long payment timeline, prioritizing other investments, financial difficulties, and a lack of perceived need. Among respondents aged 22-29, the lack of suitable consultation emerged as the biggest obstacle.

Notably, the study found that financial pressure is the leading reason people struggle to maintain long-term contracts. The current average premium stands at around VND1.8 million ($68.37 million) per month (VND22 million or $836 per year), which remains a significant hurdle when incomes fluctuate or when consumers do not fully understand the value received relative to expectations.

Long-term planning capability needs strengthening

The study found that financial behavior varies significantly across different life stages. The under 30 group tends to prioritize purchasing major assets, maintaining spending stability and supporting parents. The 30-40 group focuses more on saving for children and long-term investment, while the 41+ group prioritizes retirement savings.

Across all age groups, however, a defensive financial mindset remains dominant, with people prioritizing building emergency reserves and ensuring family security, while investment continues to play a secondary role.

Financial planning capability remains relatively underdeveloped. The study found that 83% of respondents already have financial plans, with 46% maintaining both short-term and long-term goals. However, most respondents only began thinking seriously about financial planning in recent years, particularly following the Covid-19 pandemic, and their plans are reviewed infrequently.

“This indicates that people have started to develop financial planning habits, but the level of financial maturity remains limited. This underscores the need for stronger public communication and education on long-term financial planning and the role of life insurance within a broader preparedness strategy,” the research report noted.

Notably, people over 30 years old tend to plan their finances more than other groups. They, along with the Have kid(s) group, also started planning earlier and adjusting more frequently, demonstrating a higher level of financial initiative and discipline.

The report also identified clear geographic differences in financial behavior. Residents in first-tier cities recorded a higher rate of financial planning, reflecting greater initiative and awareness in managing personal finances.

However, respondents in southern cities showed a stronger tendency toward long-term planning and earlier preparation, suggesting a more future-oriented financial outlook and stronger saving habits.

Meanwhile, respondents in northern cities reported higher rates of short-term financial planning only, indicating a more pragmatic approach focused on managing daily cash flow. By contrast, rural communities in central Vietnam recorded the highest proportion of people without financial plans, highlighting more limited financial planning habits.

Life insurance market becoming increasingly mature

According to IFM Research, consumers consider several factors essential for an insurance brand to be viewed as trustworthy: clear information and policy terms, strong financial capability and professional advisors who can explain products in an accessible way.

In the 22-29 years old age group, recommendations from friends and family played a more important role, reflecting reliance on trusted sources when time or financial knowledge is limited.

By contrast, respondents with children paid particular attention to the financial strength of insurers, aligning with their desire for long-term security for their families.

The research also showed that life insurance is especially common among people aged over 30 - a life stage when many begin taking on greater financial responsibilities related to family, children, parents and long-term goals.

Notably, 80% of those who do not yet own life insurance plan to buy it within the next 12 months. The figure suggests that the market still holds substantial untapped demand, but its broader significance lies in how consumers are approaching insurance. People are not turning away from life insurance. Instead, they are researching, comparing and evaluating options more carefully before making a long-term commitment.

Nguyen Phong Cam, deputy secretary general of the IAV, said: “This indicates that the market is shifting from emotional decision-making toward choices based on actual needs. That is a sign of a more mature market. As customers ask more informed questions, insurers have greater opportunities to provide more tailored advice, design more suitable solutions and build longer-term relationships with consumers”.

According to IFM Research, the findings suggest that life insurance should continue to be positioned as a proactive financial protection tool, supported by transparent benefits and stronger post-sales services to build consumer confidence and encourage continued engagement with insurance products.

Recent risk data underscores the urgency. Statistics from Vietnam’s Ministry of Health show that, on average, around 1.1 million injury cases receive examination and treatment at healthcare facilities each year, while more than 30,000 people die annually from injuries. Road traffic accidents, drowning and workplace accidents remain among the leading causes of injury-related deaths.

“When properly understood, appropriately selected and sustainably maintained, life insurance is more than a financial contract. It is a way for individuals to demonstrate responsibility toward themselves, their families and the future. This is also the lasting value that the life insurance industry can contribute to society: helping more Vietnamese families live more proactively, confidently and resiliently in the face of life’s uncertainties,” Cam added.

This is the first time in more than 30 years of the Vietnamese life insurance industry's development that the sector has joined forces to conduct an independent study on public awareness and behavior in this field.
"Publishing this research not only provides a comprehensive picture of awareness and perceptions of the importance of life insurance in society, but also serves as an important basis for regulators, insurers and the broader insurance industry to develop more suitable solutions to better serve people in the years ahead," said Nguyen Phong Cam, deputy secretary general of the IAV.
According to the association, the report was released at a time when the life insurance industry continues to adjust its product portfolio to comply with new regulations and better respond to changing consumer needs at different stages of life.
To ensure a high degree of accuracy and provide insurers with a clearer understanding of customer financial profiles, as well as support policymakers in promoting insurance as a financial protection mechanism, the IAV worked closely with IFM Research throughout 2025 to conduct the survey.
The survey covered 1,265 respondents, with the sample designed to reflect a broad range of audiences relevant to the life insurance market - from younger adults beginning to establish financial plans, to families focusing on savings accumulation and health protection, and to middle-aged and older groups increasingly concerned with retirement, children’s future and broader family financial protection.
About genders, the survey sample was relatively balanced by gender, with men accounting for 45% (570 respondents) and women accounting for 55% (695 respondents). This distribution enabled the study to capture perspectives from both men and women on financial planning, insurance access and decisions related to purchasing life insurance.
The survey focused on adults aged 22 and above, covering multiple stages across the financial life cycle. This structure allowed the research team to compare protection needs, wealth accumulation, healthcare priorities and retirement preparedness across different stages of life.
All respondents belonged to the income group earning VND20 million ($760) per month or above. This group was selected because of its greater ability to consider commercial insurance products and long-term financial solutions.
About life insurance ownership, the sample was divided almost evenly between ownership groups. Life insurance owners accounted for 51%, while non-life insurance owners made up the remaining 49%. This structure enabled comparisons between the actual experiences of life insurance owners and the perceptions, expectations and barriers of those who do not yet own life insurance.

Source: Quang Nguyen

Photo: Illustration courtesy of Saigon Giai Phong (Saigon Liberation) newspaper

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Vietnam has potential to become Southeast Asia’s renewable energy hub: Suzlon

21st June 2026

Speaking with Vietnam Economic Times / VnEconomy on the sidelines of the APAC Wind Energy Summit 2026 in Hanoi, Mr. Girish Tanti, Vice Chairman of Suzlon Group, said Vietnam is not only a promising market but also has the potential to become a regional hub for renewable energy development, services, and supply chains.

Nearly seven months have passed since Suzlon first began actively exploring opportunities in Vietnam. How would you assess the current outlook for Vietnam’s wind energy market, particularly in light of the revised Power Development Plan VIII and the country’s long-term energy transition goals?

Vietnam, within Asia, stands out, in terms of its bold targets-almost 24 gigawatts of renewable energy already operational, and 7 gigawatts of wind operational in the country, and set out a very strong goal for energy green transition by 2035, to adoption of renewable energy.

It is the fastest growing renewable energy market in the region, and Suzlon being one of the pioneers in Asia, we have opened up several markets in Asia, with product portfolio ranging from 2 megawatt to almost 6 megawatt now, largely focused on onshore wind.

We see Vietnam market for onshore, near shore also pretty interesting, that is something that is more likely to happen in the immediate future, and we are very confident that we should be able to make a meaningful contribution to Vietnam's growth from here.

Does Suzlon view Vietnam primarily as a potential market for wind turbine sales, or does the Group see Vietnam as a strategic manufacturing and service hub for Southeast Asia in the future?

Vietnam being the largest market in Southeast Asia has a very unique position, because it is an early starter with probably the largest, almost 7 gigawatts installed wind fleet. It is very uniquely placed to play a regional role.

Any company that is focused around renewable energy operating out of Vietnam, will use Vietnam as a regional player, so we too will not just focus on the supply of wind turbines, but also the full scale service of wind turbines, and then using it as a base for the rest of Asia.

If market conditions are favorable, would Suzlon consider establishing its first manufacturing facility or technical service center in Vietnam during the 2027-2030 period?

I think we are in the first phase of kick-starting our build-out in Vietnam, so we are in that stage where we are connecting with all the key developers and customers to see how we can develop long-term portfolio projects with our customers.

And as the outcome of that come out, I think the first phase service business will pick up, then we will have new turbine sales, and with that then we will look at how we can build the supply chain ecosystem in Vietnam, not just for Vietnam, but for the rest of the region.

Suzlon played an important role in helping India develop a strong domestic wind energy manufacturing ecosystem. Based on that experience, what lessons could Vietnam learn to build its own wind power supply chain and supporting industries?

I think Vietnam has a beautiful opportunity right now, we can replicate some of the things we did in India.

First and foremost for any market to grow and develop in a strong way, you need a stable policy.

Vietnam now has a good vision and a stable policy in place, which is very critical.

The second important element is to make sure that you have the right infrastructure to be able to build this.

So your grid infrastructure, your port infrastructure, all the other infrastructure to allow renewable energy adoption.

The third is, you know, having the market development, creating the demand for adoption of renewable energy and energy transition, that is another third important area.

And when we look at building the ecosystem for manufacturing, I think it's important that you do a phased manner adoption of local development of things, otherwise it can hamper your growth.

So while the growth is coming out, not to slow down your growth, it's important that we build out ancillary industries and ecosystems across Vietnam, which can benefit from the growth of the renewable sector also.

Many wind farms in Vietnam are now entering the operational phase and require professional maintenance services. How does Suzlon evaluate the potential of the operations and maintenance (O&M) market in Vietnam?

So you have 77 gigawatts of already installed capacity of wind. Suzlon today operates close to about 21.5 gigawatts globally, around 17 nations that we have this fleet.

Within Asia itself, the largest part of this fleet is there. So very strong competency and we are close to Vietnam geographically also. So I think in India, Vietnam cooperation is very good. So there is a good partnership relationship between the two countries. I think we can leverage that to build a whole ecosystem, which can be of mutual benefit on that.

And definitely the service business is an important piece, and Suzlon has been very strong on the service side. Because we strongly believe it's not just installing the turbines, it's making sure that the green electrons delivered over the life of the project, which ultimately gets investors to kind of reinvest into renewable energy.

Today we see almost 90% of Suzlon's business comes from repeat business, which is primarily because they are happy with Suzlon's performance.

Chinese wind turbine manufacturers have expanded rapidly across Asia with highly competitive pricing. How does Suzlon differentiate itself and compete in markets such as Vietnam?

Cost competitive and affordability of energy is very critical. Suzlon's unique proposition is that, like if you see our current 5 megawatt and 6 megawatt project, which we launched at this conference for the Asian market, the Blue Sky platform, both of these are very uniquely designed to meet the energy profile and the grid requirement of this region and the climate requirement.

The 5 megawatt is largely for the low wind conditions to extract the maximum energy. And you have a 6 megawatt, which is a high wind turbine, which can extract energy from higher 8, 9 meters per second of that.

So I think with this combination of two turbines, today effectively we are able to provide almost 90% coverage of any wind sites that exist in Asia to fit this turbine.

So the competitiveness is coming purely not just from cost, but it is the value delivery.

So from a cost per kilowatt hour, there is a little, at times people just look at the capital cost, but you must also see the life cycle cost, LCOE as we call it.

I think Suzlon product is very competitive on the life cycle cost of a turbine, means a unit cost of generation of electricity from Suzlon will be competitive to any other product. And these two products are powerhouses. They are very strong on performance.

Suzlon is entering a new phase of global growth and business transformation. Within Suzlon’s long-term international strategy, what role do you envision Vietnam playing over the next five to ten years?

We are entering a new phase of Suzlon 2.0, where we are growing the global markets in a big way. We will also grow beyond wind.

So the idea is to do wind solar storage and make firm renewable energy. So we will work with partners and develop plans of not just one or two years from project to project, but build relationships for a decade and help them build their energy portfolio of wind solar storage together.

Technical partner, operational partner, end-to-end service. And Vietnam is uniquely placed with its strong ahead-of-the-curve build-up of renewable energy. So we will be leveraging that for the Asia market build-up.

ADB plans $4.6bln financing package for Vietnam through 2029

20th June 2026

The Asian Development Bank plans to support Vietnam with a portfolio of 27 projects worth approximately $4.6 billion through 2029.

The Asian Development Bank (ADB) plans to support Vietnam with a portfolio of 27 projects worth approximately $4.6 billion through 2029, focusing on infrastructure, energy, urban development, agriculture, and public sector efficiency.

The plan was discussed during a meeting on June 15 in Hanoi between Deputy Minister of Finance Tran Quoc Phuong and Mr. Kim Dongil, Executive Director at ADB representing a constituency that includes Vietnam and some other Asian countries.

During the meeting, both sides reviewed future cooperation priorities, including budget support lending, large-scale infrastructure projects, and initiatives aimed at expanding ASEAN power grid connectivity.

According to ADB, the proposed project pipeline aligns with Vietnam’s key development priorities and is designed to support sustainable economic growth. The two sides agreed that future cooperation should focus on large-scale, high-impact projects capable of generating broad economic benefits rather than dispersing resources across smaller initiatives.

Deputy Minister Phuong noted that Vietnam’s financing needs remain substantial as the country pursues ambitious development goals. He emphasized that investment resources will be directed toward growth-driving sectors and regions with strong capacity to absorb capital effectively.

For his part, Mr. Kim Dongil reaffirmed ADB’s commitment to expanding its operations and financial support through 2030. He said the bank stands ready to assist Vietnam in achieving its socio-economic development objectives and expressed confidence that cooperation between the two sides will continue to deepen in the years ahead.

Automechanika 2026 highlights Việt Nam’s new energy vehicle boom

20th June 2026

Over 400 businesses from 17 countries and regions have participated at the Automechanika HCM City 2026 exhibition on Thursday at HCM City’s Saigon Exhibition and Convention Center.

HCM CITY — Over 400 businesses from 17 countries and territories are participating at the Automechanika HCM City 2026 exhibition on Thursday at HCM City’s Saigon Exhibition and Convention Center, featuring the latest solutions and technologies across various sectors of the automotive industry.

The three-day event is co-organised by German based Messe Frankfurt Group, Chan Chao International Co Ltd and Yorkers Exhibition Service Vietnam.

The exhibited solutions and technologies cover various sectors, including parts & components, electrics & electronics, accessories & customising and others.

Key exhibitors at the event include leading carmakers from Việt Nam and China, as VinFast and BYD Oway, along with original equipment (OE) and aftermarket manufacturers and suppliers from Italy, Japan, Germany and Korea.

It also offers visitors an overview of the latest trends across the entire automotive value chain, including Việt Nam's rapidly growing new energy vehicle (NEV) market.

Fiona Chiew, general manager of Messe Frankfurt (HK) Ltd, said: “Việt Nam’s transition to EVs and hybrids is driving change for the domestic automotive sector, with both national and global carmakers making their impact on the market.”

According to the event organiser, EV and hybrid vehicle sales in Việt Nam reached 162,039 units in the first quarter of 2026, up over 36 percent year-on-year, creating expanding opportunities and challenges within the value chain.

The rapid growth of the electric and hybrid vehicle market is creating new demand for components, diagnostic equipment, charging infrastructure, repair services and technical workforce, while also opening up room for growth across the entire automotive supply chain.

She also mentioned that the event serves as a comprehensive platform for international and Vietnamese businesses to connect, share ideas and forge partnerships.

The event also provides visitors with numerous activities, including a Collision Repair Training Workshop, an Automotive Mobility Solutions Conference and B2B activities.

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