Published on 01/20/2023 at 14:10
Toronto — Sun Life Financial announced Friday that it has entered into a 15-year agreement to become the exclusive provider of insurance products for Hong Kong-based Dah Sing Bank.
The insurer said it would pay approximately $260 million for the arrangement, with ongoing variable payments to Dah Sing Bank depending on the success of the partnership.
Toronto-based Sun Life says the deal between its Sun Life Hong Kong subsidiary and Dah Sing will give its more than 2,500 insurance advisers the ability to provide services to the bank’s 570,000 retail customers.
Dah Sing Bank, a subsidiary of Dah Sing Banking Group, has more than 40 branches in Hong Kong and the value of its assets reached nearly $41 billion by the end of 2021.
According to Sun Life, the agreement with Dah Sing, which is expected to take effect in July, means that it now has insurance partnerships with more than 20 banks in seven Asian markets.
The insurer reported lower insurance and property sales in Hong Kong in its latest results, amid COVID-19 pandemic-related lockdowns, which the government has since largely lifted.