ABL Life to set up general agency

By Lee Kyung-min

ABL Life Insurance will set up a general agency as a subsidiary, in a move to diversify profit sources, the company said Friday.

The firm passed a motion to establish the sales subsidiary at a board meeting, Dec. 13. The GA was tentatively named ABL Financial Services.

This is in line with growing trend among insurance firms rushing to set up such agencies that are allowed to handle not only their own products but also other firms' products.

“Usually, agents from certain firms are banned from selling products other than their own, a reason why an increasing number of high-performing, competent agents are leaving for better sales opportunities,” an ABL official said.

“But with the general agency operation, they can sell products they see as most competitive, attractive and profitable from competitors. This should in turn help the firm retain the agents,” she added.

The business expansion to include these agencies will create synergy with existing marketing channels established online, or through bankassurance, she added.

“We expect the agency operation will help us with efficient and effective workforce management, which will translate into solid performance.”

ABL Life, the Korean arm of the China's Anbang Insurance Group, became the sixth insurance firm with a general agency following Samsung, Hanhwa, Lina, Mirae Asset and Metlife.

The firm changed the name to ABL after Anbang purchased Allianz Life, the former Korean unit of Allianz Group.