SUMMARY FOR THE THIRD QUARTER
AIA Hong Kong generated strong double-digit growth in VONB in the third quarter of 2018 with broad-based growth from both agency and partnership channels and across both domestic customer and Mainland Chinese visitor segments.
AIA’s wholly-owned operation in China delivered a strong performance with double-digit VONB growth in the third quarter, benefiting from a further increase in active agents. Our commitment to the execution of our Premier Agency strategy and providing needs-based advice and value-added services continues to differentiate AIA’s customer proposition in China.
Our business in Thailand delivered double-digit VONB growth, driven by continuing improvement in agent productivity as we make further progress with our ongoing agency transformation. VONB in Malaysia was lower year-on-year although we saw a sequential improvement in VONB growth in the third quarter compared to the second quarter of 2018.
In Singapore, strong ANP growth was offset by a lower VONB margin as a result of large volumes of single premium unit-linked business. Our number of active agents grew at a double-digit rate and our partnership with Citibank, N.A. delivered very strong growth in the third quarter.
Other Markets reported strong double-digit VONB growth with particularly strong contributions to growth from our businesses in Australia, Korea, the Philippines and Taiwan.
ANP increased by 12 per cent compared with the third quarter of 2017 to US$1,582 million. VONB margin improved to 61.1 per cent, compared with 58.4 per cent in the third quarter of 2017, mainly driven by positive changes in product mix, channel mix and others. Margin reported on a present value of new business premium (PVNBP) basis was stable at 10 per cent. Long-term economic assumptions remain unchanged from those shown in our Annual Report 2017, following the same approach that we have applied consistently for quarterly new business highlights. TWPI increased by 16 per cent to US$7,610 million, compared with the third quarter of 2017, as we continue to layer new business onto our large in-force portfolio.