THUONGMAI UNIVERSITY

BANKING AND FINANCE

DEPARTMENT
----------

DISCUSSION
INSURANCE PRODUCTS AND SERVICES
TOPIC: INTRODUCING PRIVATE HOME INSURANCE PRODUCT OF BAO
VIET INSURANCE COPORATION AND COMPARE THIS PRODUCT WITH
PRODUCT OF BIDV INSURANCE COPORATION AND PRESENT YOUR
GROUP OPINIONS ON GIVING ADVICE TO HELP INDIVIDUAL
CUSTOMERS CHOOSE TO BUY ONE OF THOSE TWO PRODUCTS

Group :3
Class : 2241FMGM0811
Teacher : Dang Thu Trang

Ha Noi – 2022
 List members of group 3
No Name Phone Position Assigned Result Score
number word
13 Lê Trung Hiếu Member
14 Lê Vũ Hoàng Member
15 Nguyễn Công Leader
Hùng
16 Nguyễn Trần Member
Quỳnh Hương
17 Nguyễn Thu Member
Huyền
18 Nguyễn Đức Member
Khánh

CONTENTS
LIST OF ACRONYMS....................................................................................................5
TABLE LIST.................................................................................................................... 5
INTRODUCTION............................................................................................................5
CHAPER I: OVERVIEW OF PROPERTY INSURANCE..........................................6
1.1. What is Property insurance ?................................................................................6
1.2. Property insurance subject...................................................................................6
1.3. Property insurance coverage.................................................................................7
1.4. Classification of property insurance.....................................................................7
1.4.1. Compulsory fire insurance.................................................................................7
1.4.2. Fire and special perils insurance........................................................................7
1.4.3. Business interruption insurance.........................................................................7
1.4.4. Insurance for all office risks..............................................................................8
1.4.5. Private home fire insurance...............................................................................8
1.4.6. Other types of insurance....................................................................................8
1.5. Rights and obligations of the parties involved.....................................................8
1.5.1. Rights and obligations of insurance enterprises.................................................8
1.5.1.1. Insurance enterprises have the right to........................................................8
1.5.1.2. Insurance enterprises are obliged to............................................................9
1.5.2. Rights and obligations of the insurance buyer...................................................9
 1.5.2.1. The policyholder has the right to.................................................................9
1.5.2.2. The insurance buyer is obliged to................................................................9
1.6. Main features of property insurance..................................................................10
1.6.1. Limited liability insurance according to property value...................................10
1.6.2. Property insurance applies the indemnity principle.........................................10
1.6.3. Benefits can be insured and assign of insurance contract................................11
CHAPER II: INTRODUCING PRIVATE HOME INSURANCE PRODUCT OF
BAO VIET INSURANCE COPORATION..................................................................11
2.1. Overview of Bao Viet Insurance Coporation.....................................................11
2.1.1. History of establishment and development......................................................11
2.1.2. Vision – mission..............................................................................................14
2.1.4. Strategy and value to society...........................................................................14
2.1.5. Organisation structure......................................................................................17
2.1.6. Scope of operations.........................................................................................17
2.2. Introducing private home insurance product of Bao Viet Insurance
Coporation...................................................................................................................21
2.2.1. General Rules..................................................................................................21
2.2.1.1. Insurance policy........................................................................................21
2.2.1.2. Insurance validity and premium................................................................22
2.2.1.3. Notice of Change Insured House and Property..........................................22
2.2.1.4. Termination of the insurance policy ahead of time....................................22
2.2.1.5. Limit of indemnity....................................................................................23
2.2.1.6. Idemnity basis...........................................................................................23
2.2.1.7. Definition..................................................................................................23
2.2.2. Coverage..........................................................................................................23
2.2.2.1. Coverage...................................................................................................23
2.2.2.2. Extended terms – Rent after loss...............................................................25
2.2.2.3. Exclusion of insurance..............................................................................25
2.2.3. Home insurance...............................................................................................25
2.2.3.1. The house is insured..................................................................................25
2.2.3.2. Deductible.................................................................................................26
 2.2.4. Home property insurance.................................................................................26
2.2.4.1. Insured property........................................................................................26
2.2.4.2. Uninsured property....................................................................................26
2.2.4.3. Deductible.................................................................................................26
2.2.5. Complaints & Indemnity.................................................................................26
2.2.5.1. Responsibilities of the insured...................................................................26
2.2.5.2. Loss of indemnity benefits........................................................................27
2.2.5.3. Benefits of Bao Viet..................................................................................27
2.2.5.4. Duplicate insurance under multiple insurance policies..............................27
2.2.5.5. Subrogation...............................................................................................27
2.2.5.6. Dispute resolution.....................................................................................28
2.2.5.7. Assignment................................................................................................28
2.2.6. Insurance premium..........................................................................................28
2.2.6.1. Home insurance.........................................................................................28
2.2.6.2. Home property insurance..........................................................................29
CHAPER III: COMPARE THIS PRODUCT WITH PRODUCT OF BIDV
INSURANCE COPORATION AND PRESENT YOUR GROUP OPINIONS ON
GIVING ADVICE TO HELP INDIVIDUAL CUSTOMERS CHOOSE TO BUY
ONE OF THOSE TWO PRODUCTS..........................................................................30
3.1. Compare with product of BIDV Insurance Coporation...................................30
3.2. The strengths and weaknesses of Bao Viet insurance corporation and BIC...38
3.3. Giving advice product that individual customers should choose.....................41
CONCLUSION...............................................................................................................42
 LIST OF ACRONYMS
BIC : BIDV INSURANCE COPORATION

TABLE LIST
Table 2.2.6.1. INSURANCE PREMIUM OF THE HOUSE PART OF BAO VIET
INSURANCE CORPORATION………………………………………………………...28
Table 2.2.6.2. INSURANCE PREMIUM OF PROPERTY INSIDE THE HOUSE OF
BAO VIET INSURANCE
CORPORATION………………………………………………….30
Table 3.1.1. INSURANCE PREMIUM OF PROPERTY INSIDE THE HOUSE OF BAO
VIET INSURANCE CORPORATION…………………………………………………33
Table 3.1.2. INSURANCE PREMIUM OF PROPERTY INSIDE THE HOUSE OF
BIDV INSURANCE
CORPORATION………………………………………………………...34
Table 3.1.3. INSURANCE PREMIUM OF THE HOUSE PART OF BAO VIET
INSURANCE CORPORATION………………………………………………………...35
Table 3.1.4. INSURANCE PREMIUM OF THE HOUSE PART OF BIDV INSURANCE
CORPORATION………………………………………………………………………...36

INTRODUCTION
In this day and age, there are risks around us, we cannot foresee its. Every time a risk is
encountered, it often causes unpredictable consequences that affect human life,
production, and health. Therefore, people always seek to protect themselves and their
property against risks in life as well as in production. As life and production are
developing more and more, people's safety needs are more and more concerned. To deal
with risks and overcome the consequences of loss, people have found many different
ways to protect themselves, including insurance.
In Vietnam, insurance coporation such as Bao Viet and BIC always try to develop
products to satisfy demand of customers. Both companies are very diverse in product
types, however there is one insurance product that is essentinal for all of us but currently
it is not popular and accepted by the majority of people. private home insurance products.
To help people have an objective view, have a better decision when choosing to buy this
product, our team would like to choose the topic “ Introducing Private Home
Insurance product of Bao Viet Insurance Coporation And compare this product

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with product of BIDV Insurance Coporation and present your group opinions on
giving advice to help individual customers choose to buy one of those two products”
The discussion was presented by the efforts of the whole group, however, that will
certainly not avoid shortcomings.We hope the teacher can contribute ideas to make the
discussion of group 3 better.
Thank You !

CHAPER I: OVERVIEW OF PROPERTY INSURANCE

1.1. What is Property insurance ?
Property insurance is a type of insurance that belongs to the group of non-life insurance,
which has been specified in Article 7 of the Law on Insurance Business in 2000.
Accordingly, the insurance company will collect the insurance premiums from the
insurance companies. the policyholder and undertakes to indemnify the insured when the
insured property is exposed to a risk within the insurance coverage resulting in a loss.
Property insurance is a form of insurance for objects that are property, including real
things, money, papers worth money and property rights.
Forms of compensation available for property insurance include cash payment of value,
replacement or repair of the property where possible. However, in most cases, customers
are paid cash for compensation.
1.2. Property insurance subject
- The subject matter of property insurance is the property and the rights to the property.
- Assets include: real things, money and valuable papers.
Includes 5 types:
− Living things: plants, animals
− Property is in the process of forming
− Property is in use
− Property is in transit
− Assets are in warehouses, funds, safes
- Property rights:
- Right of possession
- Right to use
- The right to decide
- Property damage:

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 - Direct damage
- Indirect damage
1.3. Property insurance coverage
Compensation for accidental and unforeseen accidental physical loss or damage to the
insured property and caused by the perils stated in the Certificate of Insurance/Policy and
occurs during the insured period.
1.4. Classification of property insurance
1.4.1. Compulsory fire insurance
Among the 25 popular types of insurance today, compulsory fire and explosion insurance
is the type of insurance contract that meets the most practical requirements for
individuals and organizations paying insurance and strictly complies with legal
requirements according to regulations. Decree No. 130 of the Government, Circular No.
220 of the Ministry of Finance.
The subject matter of property insurance, buildings, structures, excluding foundations,
land value, equipment and machinery, stored goods and other assets.
The insurance coverage includes material loss, property specified in the pre-agreed
contract, damage caused by unforeseen fire and explosion.
1.4.2. Fire and special perils insurance
In many cases, the property is not due to a normal fire, but with this insurance, the
business owner will also be guaranteed to recover compensation for property loss due to
other special risks.
Subjects of this property insurance include: assets, supplies, warehouses, raw materials,
headquarters, buildings of enterprises, commercial centers, hotels, commercial service
offices. .
Coverage covers the risks of fire and explosion, plane crash, strike, malice, earthquake,
thunderstorm, flood, damage due to overflow of storage tank, broken water main, hit a
motor vehicle or an animal.
1.4.3. Business interruption insurance
This is the optimal solution chosen by many businesses to minimize the risks when
business and production are stopped due to property damage or some assets are being
insured. With this type of insurance, business owners can still continue to exist, revive
success after failure.
Property insurance object serving production and business enterprises that are being
stopped or interrupted due to loss of profits.

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Coverage stipulates that the insured must continue to pay while the business operation
has problems or is affected by the loss of property. Profits and fixed costs will be seen as
the specific basis for determining the amount of insurance.
1.4.4. Insurance for all office risks
In order to minimize economic loss for the office of the enterprise, business premises,
insurance for all office risks applies to objects that are buildings and assets. offices and
some fixed assets. These objects must be located within the territory, covered in the event
of an accident, unexpected loss, repair costs as well as some expenses due to due process.
1.4.5. Private home fire insurance
The indemnification value for fixed assets, structures, and assets inside the house, which
are fixed or not fixed, is equivalent to the value of loss, unexpected risks caused by fire,
explosion, lightning, and flood. flood or loss of rent.
1.4.6. Other types of insurance
In addition to the above popular property insurance types, you can also refer to the
following useful insurance packages:
- Theft insurance
– Loyalty insurance
– Money insurance
– Apartment insurance
1.5. Rights and obligations of the parties involved
1.5.1. Rights and obligations of insurance enterprises
1.5.1.1. Insurance enterprises have the right to
- Collect insurance premiums as agreed in the insurance contract;
- Request the insurance buyer to provide fully and truthfully information related to the
conclusion and performance of the insurance contract;
- Unilaterally suspend the performance of the insurance contract according to the
provisions of Clause 2, Article 19, Clause 2, Article 20, Clause 2, Article 35 and Clause
3, Article 50 of the Law on Insurance Business;
a) Refuse to pay insurance premiums to beneficiaries or refuse to indemnify the insured
in cases not falling within the scope of insurance liability or in cases where liability is
excluded as agreed in the insurance contract. ;
b) Request the insurance buyer to apply measures to prevent and limit losses in
accordance with the provisions of this Law and other relevant laws;

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c) Request the third party to reimburse the insurance amount that the insurance enterprise
has indemnified the insured caused by the third party for property and civil liability;
d) Other rights as prescribed by law.
1.5.1.2. Insurance enterprises are obliged to
- Explain to the insurance buyer about the insurance terms and conditions; rights and
obligations of the insurance buyer;
- Issue to the insurance buyer the insurance certificate and insurance policy right after
signing the insurance contract;
- Timely payment of insurance to the beneficiary or compensation to the insured upon
occurrence of the insured event;
- Explain in writing the reason for refusal to pay insurance or refuse to indemnify;
- Coordinating with the insurance buyer to settle the third party's claim for compensation
for the damage covered by the insurance liability upon the occurrence of the insured
event;
- Other obligations as prescribed by law.
1.5.2. Rights and obligations of the insurance buyer
1.5.2.1. The policyholder has the right to
- Select insurance enterprises operating in Vietnam to buy insurance;
- Request the insurer to explain the insurance terms and conditions; issue a certificate of
insurance or an insurance policy;
- Unilaterally suspend the performance of the insurance contract according to the
provisions of Clause 3, Article 19 and Clause 1, Article 20 of the Law on Insurance
Business;
- To request the insurance enterprise to pay insurance premiums to the beneficiaries or to
compensate the insured as agreed upon in the insurance contract upon the occurrence of
the insured event;
- Transfer of insurance contracts according to agreements in insurance contracts or as
prescribed by law;
- Other rights as provided for by law.
1.5.2.2. The insurance buyer is obliged to
- Pay the premium in full, according to the time limit and method agreed in the insurance
contract;

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- To fully and honestly declare all details related to the insurance contract at the request
of the insurance enterprise;
- To notify the cases that may increase the risk or give rise to more liability of the
insurance enterprise during the performance of the insurance contract at the request of the
insurance enterprise;
- Notify the insurance enterprise of the occurrence of the insured event as agreed in the
insurance contract;
- Apply measures to prevent and limit losses in accordance with this Law and other
relevant laws;
- Other obligations as prescribed by law.
1.6. Main features of property insurance
1.6.1. Limited liability insurance according to property value
- In property insurance, the value of the property is the basis for the insurance buyer and
the insurer to determine the insurance amount.
- At the time of signing the insurance policy, the property value can be calculated in
many ways. It can be equal to the market value, residual value, replacement value, agreed
value of the property.
- Normally, based on the declaration of property value of the policyholder, the insurer
will determine the insurance amount of the contract. From there determine the amount of
insurance premiums and limit your liability.
- According to the Law on Insurance Business, the parties are not allowed to sign
property insurance contracts on the value. Mean:
+ Insured at the right value of property: Insured amount = Actual damage
+ Underinsurance under property value: Amount insured = Actual damage x Amount
insured / Property value.
However, in practice, insurance on value still occurs, for example:
The price of the property decreases during the insurance period.
+ The parties determine the property value incorrectly.
+ The insurance buyer intentionally participates in insurance on the value for profit.
- Remedial measures:
+ Agreement to reduce insurance amount

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+ Cancellation of insurance contract
+ If the insured event occurs, the maximum compensation = Property value.
1.6.2. Property insurance applies the indemnity principle
- The content of the compensation principle is reflected in three main characteristics:
- The basis of compensation is the actual value of the property at the place and at the time
of occurrence of the insured event and the actual damage of the property in that insured
event.
- Compensation purposes
+ Compensation for damage, restoration of the value of the insured event insured
+ Bring the insured back to the maximum state as before the occurrence
+ Do not create opportunities for insurance buyers to make a profit
- Form of compensation
+ Repair damaged property
+ Replace damaged property
+ Pay with money
1.6.3. Benefits can be insured and assign of insurance contract
- The policyholder must have an insurable interest i.e. he must have lawful ownership,
right to possess and use the insured property.
- In case the property is being transferred ownership, the policyholder and the insurer
may agree to terminate the insurance contract or transfer it to a new owner.

CHAPER II: INTRODUCING PRIVATE HOME INSURANCE PRODUCT OF

BAO VIET INSURANCE COPORATION
2.1. Overview of Bao Viet Insurance Coporation
2.1.1. History of establishment and development
Baoviet Insurance Corporation (Bao Viet Insurance - Baoviet Insurance) is a member
company with 100% capital investment by Baoviet Finance - Insurance Group.

Over fifty years of strong development, continuously standing in the top position in the
market in terms of revenue, market share and growth, Baoviet Insurance Corporation has
always been a pioneer in applying technology and successful solutions. of the 4.0

11
technology revolution not only in sales, business management, compensation
management, customer data control but also in interacting with customers to bring the
highest convenience.

Bao Viet Insurance is currently the insurance enterprise with the largest charter capital in
the market, strong financial capacity, diversified products, outstanding service quality
and highly qualified staff. Bao Viet Insurance has made continuous efforts to fulfill the
role and responsibility of the leading insurer in Vietnam in supporting and settling claims
for customers as well as in social security work; to ensure sustainable development and
contribute to improving the quality of life for the community.

1964: Vietnam Insurance Company was established under Decision 179/CP of the
Government on December 17, 1964

1965: Officially entered into the business of Non-Life Insurance from January 15, with
the head office in Hanoi and a single branch in Hai Phong.

1965 -1974: Serving a small group of customers who are state economic units doing
business in the field of import and export and ships in the North

1975-1982: Being the largest and only State-owned insurance enterprise in the whole
territory of Vietnam with a wide network and diversified insurance products such as
aviation insurance, personal insurance, motor vehicle insurance world, river ship
insurance - fishing vessel ...

1989: Developed into Vietnam Insurance Corporation under Decision No. 27-TCQD-
TCCB issued by the Ministry of Finance on February 17

1996: Ranked “Special State-owned Enterprise”, one of the 25 largest State-owned

enterprises in Vietnam

1996-2007: During this period, Baoviet continued to diversify and improve the quality of
products and services with the slogan "Best customer service for development".

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2007: Vietnam Insurance Corporation changed its name to Bao Viet Insurance
Corporation (trading name is Bao Viet Insurance) with the slogan "Strong belief,
sustainable commitment"

2013: Bao Viet Insurance increased its charter capital from VND 1,800 billion to VND
2,000 billion, becoming the leading enterprise in terms of charter capital in the field of
Non-Life Insurance in Vietnam.

2015: Bao Viet Insurance was evaluated as a strong brand in Vietnam with many
achievements in business activities, contributing to the construction and development of
the insurance market; at the same time in the Top 100 best places to work in Vietnam
evaluated by Nielsen & Anphabe Company.

2016: Baoviet Insurance's health insurance plans were rated in the Top 100 best products
for families and children; making the business become the most trusted Non-life
Insurance Brand in Vietnam. In particular, launched Cancer insurance - Bao Viet K-Care
with insurance benefits up to 1 billion VND.

2017: Baoviet Insurance established 6 more member companies, bringing the total
number of subsidiaries in the whole system to 79 units, maintaining the leading position
in the non-life insurance market with nearly 20% market share and being the leading
enterprise in the non-life insurance market. The first & only insurance industry to hit the
original premium of over VND 8,000 billion, up 22.5%, nearly twice as high as the
average growth rate of the market.

2018: In August, Baoviet Insurance raised its charter capital from VND 2,300 billion to
VND 2,600 billion, strengthening its financial capacity to provide insurance product
services for large projects as well as its ability to commit and spend paying insurance
benefits to customers, ensuring high efficiency in risk management

2019: Baoviet Insurance officially launched Baoviet Direct digital insurance application -
the first integrated mobile insurance management application in Vietnam market for

13
individual customers. At the same time, increasing charter capital to VND 2900 billion,
affirming the position of the No. 1 non-life insurer in the industry.

In the same year, Bao Viet Insurance launched a new generation of Travel and Ecargo
insurance products developed on the basis of digital technology application. Customers
are fully active in purchasing, registering, managing and tracking their insurance orders
through online software.

2020: Baoviet Insurance is recognized as the most trusted Insurance Brand in Asia
(Global Brand Magazine), bringing satisfaction and happiness to customers.

2021: Baoviet Insurance continues to maintain its position as the leading insurer in the
non-life insurance market in 2021, effectively implementing digital transformation
activities in business, administration and customer care activities and received the
international award of Digital Insurance Initiative of the Year in Vietnam. At the same
time, officially launched Insurance 37 Critical Illnesses.

2022: Bao Viet Insurance opens its new Head Office at 07 Ly Thuong Kiet, Hanoi; At the
same time, continuously launched new insurance programs for individual and corporate
customers such as Bao Viet Tam Binh, Peace of mind for hospital fees, Cybersecurity
Insurance, Export Credit Insurance, Guarantee Insurance.

Baoviet Insurance is confident in its ability to advise and meet all insurance requirements
of individual and corporate customers, providing customers with perfect services and
lasting value.

2.1.2. Vision – mission

Vision: To be the market leader in terms of revenue and market share in the field of non-
life insurance in Vietnam.

Mission: Provide the best insurance services to manage risks in life, bring peace and
improve the quality of life of customers.

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 2.1.4. Strategy and value to society
Mr. Tran Trong Phuc - General Director of Baoviet Group said: “Baoviet's sustainable
development strategy focuses on successfully realizing the long-term goal of solid
economic growth, combined with implementing social and environmental objectives,
ensuring the harmonization of the interests of stakeholders”.

a. Solid economic growth

1. Ensuring shareholders' interests by paying 15% cash dividends to shareholders

With the effective implementation of business solutions and continued steady and solid
development in all areas of operation, Baoviet Holdings has spent VND 1,021 billion,
equivalent to 94.4% of profit after tax to paid a cash dividend at the rate of 15% of the
par value of shares, 25% higher than the plan assigned by the General Meeting of
Shareholders of 12%. Thus, Baoviet Group has reached the finish line ahead of schedule
in its commitment to shareholders on dividend payment (according to the 2015 plan, the
dividend is expected to reach 15%). The closing date for the list of shareholders to
exercise the right to receive dividends in 2012 is June 17, 2013, and the payment period
will be from July 17, 2013.

In the face of complicated and difficult economic developments, the regular and
increasing dividend payment over the years shows the high determination of the Board of
Directors and the Board of Management in ensuring the interests of shareholders. , and at
the same time balance financial resources, realize effective and sustainable growth goals
and long-term benefits for businesses and shareholders.

2. Ensure benefits for customers through improving service quality and deploying micro
products

With the goal of bringing added value, committed to serving millions of customers,
Baoviet constantly improves the quality of products and services; invest in developing
new products to meet the diverse needs of customers. In 2012, Baoviet provided

15
insurance for 8 million students; insurance for nearly 3 million motorbikes and cars; pilot
implementation of agricultural insurance for 125,000 poor and near-poor farmers.

In the fields of securities, banking, fund management, Baoviet also provides cross-selling
services, bancasurance services, payment services, etc. to meet customer needs in the best
way and bring satisfaction. and customer attachment to the business.

b. Invest for the development of the community

Baoviet has invested more than 80 billion VND for social security activities, in which
poverty reduction and investment for the young generation are focused on investment in
budget and resources with the desire to work together. speeding up poverty eradication as
well as cultivating students' dreams of going to school in remote areas.

Reaching out to people in the most disadvantaged provinces through poverty alleviation

Bao Viet has reached out to people living in the poorest areas of the country such as Que
Phong (Nghe An) and Pac Nam (Bac Kan) districts to support and build facilities for
people such as construction health stations, demolishing temporary houses and building
914 new houses. Bao Viet believes that people are supported with basic living conditions
that will help them focus on productive labor to better feed themselves and their families.

Invest in education and the young generation because “knowledge brings opportunities
for success as well as promotes economic development”

The program “Love Connection” or “An Sinh Education” scholarship are annual
programs of Baoviet for children in difficult circumstances. After 9 years of operation,
Baoviet's "An Sinh Education" scholarship fund has helped more than 15,000 children
with a total donation of more than 9 billion VND.

The "Love Connection" activity in 2013 was followed by the program of visiting and
giving gifts to children of the Son Tay Association of the Blind and the unfortunate
children infected with HIV of the Labor Education Center No. 2 in Yen Bai, Ba Vi,
Hanoi on the occasion of June 1. The Youth Union gave meaningful gifts and many

16
living items to the children with the hope that they would have a happy Children's Day
with friends. Although they all have physical defects or have bad luck in life, Baoviet
hopes that they will always keep an optimistic spirit, live positively and believe in a
bright future.

c. Protect the environment – Small actions for big changes

Aware of the negative impacts of humans on the environment that affect not only present
but also future generations, Baoviet has strengthened internal communication to raise
awareness of environmental protection among employees. staff through saving energy
consumption at the head office and companies, branches throughout the system;
application of information technology to digitize operational transactions, reduce the
amount of paper discharged into the environment.

Implement 5S program to improve labor productivity and reduce environmental impact

The awareness of environmental protection needs to come from building a clean

environment, a well-ventilated space at the workplace. Therefore, Baoviet has cooperated
with Vietnam Productivity Center to ensure that the system of records and documents is
"Sieved - Organized - Clean - Cared - Ready", stored in a scientific way to help minimize
search time, contribute to improving

2.1.5. Organisation structure

The head office in Hanoi has 29 functional departments/divisions, divided into 5
Divisions (Operation Management Division, Financial Management Division, Business
Development and Management Division, Direct Sales Division and Channel
Development Division). distribution). The Departments/Departments are structured in the
direction of specialization with clear functions and tasks.

Baoviet Insurance Corporation has a network of 67 member companies and over 300
customer service departments in all provinces and cities nationwide.

The management and administration apparatus of the business consists of experienced

leaders, highly qualified in insurance and corporate governance, knowledgeable about the
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domestic and foreign insurance markets. Baoviet Insurance's staff is appreciated by the
market as highly qualified, experienced and well-trained.

2.1.6. Scope of operations

a. Individual customers
- Bao Viet Tam An: is a health insurance product distributed exclusively through Baoviet
Life Consultant channel, exclusively for universal life insurance policyholders at Baoviet
Life and extended to family members, providing customers with a package of superior
solutions in terms of financial protection and comprehensive health against unfortunate
risk situations encountered in life.
- Golf player insurance:
Insurance for all risks from teeing off
As with all sports, golfers are exposed to risks of injury or risks of public liability while
playing golf. Baoviet's golfer's insurance product will help you hit the ball with
confidence by protecting yourself against personal accident risks, medical expenses
incurred as a result of these risks and possible public liability. happen.
- Auto insurance: Comprehensive coverage, reasonable cost and quick and professional
claim settlement service, Baoviet's "Auto Insurance" program will accompany, care and
protect your car properly. With many auto insurance sales nationwide, Baoviet is
committed to meeting your needs anytime and anywhere.
- Health Insurance: Health is the most valuable asset of a person, so taking care of and
protecting health is an essential need and requirement of each individual. Participating in
Baoviet's "Health Insurance" programs, you and your family will really feel secure to
enjoy a happy and healthy life to the fullest.
Baoviet is pleased to provide customers with diverse and flexible health insurance plans,
suitable for their needs such as:
 Bao Viet An Gia Insurance
 Insurance for medical expenses & emergency transportation
 Hospital & surgery allowance insurance
 24/7 personal accident insurance
 Personal life insurance
- International travel insurance:
Baoviet's "International Travel Insurance" program will be your indispensable companion
in every trip, business trip, visiting relatives, studying abroad. Designed to suit the

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financial capabilities and needs of customers, with diverse insurance benefits,
comprehensive protection coverage, you and your family will have absolute peace of
mind in terms of life and property before anything. unforeseen risks abroad.
- Private home insurance: For every Vietnamese, a house is a pride and a valuable asset
both mentally and physically. Bao Viet's "Private Home Insurance" program is ready to
accompany and comprehensively protect your family's home against all risks of fire,
explosion, thunderstorm, storm, flood, theft, etc.
- Motorcycle insurance The motorbike is an indispensable companion in every
Vietnamese family. Participating in Baoviet's comprehensive motorcycle insurance
package (including vehicle fire and explosion insurance, vehicle owner's civil liability
insurance and occupant accident insurance) with a small cost of only about 100,000
VND, You can fully protect your car and your loved ones when participating in traffic.
- Other types of insurance: In addition to the basic product packages, Baoviet is pleased
to provide customers with flexible and extended travel insurance and motor vehicle
insurance programs such as:
 Insurance for domestic tourists
 Insurance for foreigners traveling in Vietnam
 Car owner's civil liability insurance voluntary level 100 million
 Car body insurance
b. Corporate customers:
- Cargo insurance: Cargo transportation is an essential step in the production and business
process of every business. The loss and damage of goods during transportation is
inevitable, and in many cases can seriously affect the business operations of the
enterprise. With comprehensive cargo insurance solutions, Baoviet Insurance is ready to
provide financial security for businesses against risks during the transportation of
commercial goods.
Transported cargo insurance is insurance for external risks causing loss of or physical
damage to the insured goods, occurring during transit (and/or temporary storage during
transit). transportation) is carried out by any means of transport, within the territory of
Vietnam or on a worldwide scale.
- Technical insurance: for construction work, for the loss of construction equipment,
construction machinery, property damage and/or personal injury caused to a third party
while in progress. construction work.
The coverage of the all-risks construction policy is very wide, except for the special risks
excluded in the policy, the majority of risks cause unexpected and unexpected damage.

19
occurring during the period of insurance on the construction site are covered under this
policy.
- Property insurance: protects the assets of the business against losses that occur due to
specific listed risks including: Fire; Explode; Aircraft and other air vehicles or equipment
on them fall on; Disruption, strike, strike, dismissal; Malicious actions; Earthquakes,
volcanic eruptions; Thunderstorms; Thunderstorms, floods; Break or Spill from water
storage facilities; Collisions by vehicles and animals; …
- Mixed insurance: With the desire to provide comprehensive protection for businesses,
Baoviet Insurance's Mixed Risk Insurance includes a variety of insurance plans that are
updated according to the needs of businesses. .
- Liability insurance: All businesses have a legal responsibility to customers, suppliers,
the community, If a third party suffers property damage or injury due to the use of
products/services of the business, the enterprise may be liable. In addition to paying
compensation, businesses are also significantly affected in terms of time, brand
reputation and related legal costs.
- Employee insurance: Improving the welfare regime, attracting and retaining talents is
one of the current competitive strategies of enterprises. Bao Viet Insurance is pleased to
offer businesses an insurance program for bank staff with reasonable costs and added
value. This insurance program is an effective tool to help businesses build the best
compensation policy for employees, aiming for sustainable development as well as
improving competitiveness in the market.
- Ship insurance: With the advantage of being a coastal country and having a dense river
system, the water transport business is a key economic sector and always attracts the
development attention of the Government. But with its own characteristics, this is also an
economic industry that contains many risks of natural disasters, collisions, fires and
explosions, etc., which have the potential to cause great consequences and significantly
affect the business activities of enterprises.
- Satellite insurance: Covers physical damage to satellites during launch:
 Coverage for physical damage to the satellite during its operation in orbit
 Liability insurance
 Insurance for loss of revenue due to physical damage to the satellite
- Oil and gas insurance:
Baoviet currently provides the following types of oil and gas insurance:
 Covers all risks of drilling barges/mobile rigs/oil pipelines.
 Fixed rig all-risks insurance
20
  Oil and gas drilling equipment risk insurance
 Comprehensive liability insurance for oil and gas operators, drilling contractors
and service contractors
 Crude oil in storage and in transit
 Offshore construction project insurance (Welcar)
 Business interruption insurance
- Motor vehicle insurance: Hundreds of thousands of businesses have trusted and given
the responsibility of protecting their vehicles to Baoviet Insurance. Proud to be the largest
car and motorbike insurance company in Vietnam, Baoviet constantly strives to research
and improve processes and products to provide a comprehensive insurance solution that
meets the needs of the public. the needs of our customers.
- Aviation insurance:
+ Material insurance
 Aircraft fuselage insurance (including war and hijack risks)
 Spare parts insurance
 Insurance for assets and equipment installed on the aircraft
+ Liability insurance
 Airport owner and airport operator liability insurance
 Flight operator liability insurance
 Liability insurance for passengers, luggage, cargo, postal goods
 Liability insurance for third parties (of aircraft owners, aviation fuel companies,
aircraft maintenance service providers, cargo services, meals and other services in
aviation industry…)
 Product Liability Insurance
+ Other insurance products
 Flight crew accident insurance
 Inability to use the aircraft insurance
 Other types of insurance
2.2. Introducing private home insurance product of Bao Viet Insurance Coporation
2.2.1. General Rules
2.2.1.1. Insurance policy
Private home insurance policy include:
- Rules of private home insurance is a provision that stipulates the rights and
responsibilities of the insured and is granted by Baoviet when the insured requests it.
21
- Insurance claim form (pre-printed form): for the insured to claim insurance and
establish an insurance policy. It is an integral and integral part of the insurance policy.
When making an insurance claim, the insured must fully and truthfully declare in the
Insurance Claim Form.
- Certificate of Insurance: issued to the insured by Baoviet, is proof of the conclusion of
the insurance policy and is governed by this rule.
- Additional terms, extended coverage is a part of an insurance policy that is agreed to
additionally if required by the insured.
- Other agreements are made in writing between the insured and Baoviet.
2.2.1.2. Insurance validity and premium
- Insurance validity begins and ends as indicated on the certificate insurance
- During the insurance period, if there is a transfer of ownership the property is insured,
the insurable interest is still valid for new owner, provided that the Insured notifies
Baoviet of the transfer of ownership of the property and with the written approval of Bao
Viet. In case the Insured does not transfer the insurance benefits to the new owner,
Baoviet will refund the insurance premium according to the rule.
- The Insured must pay the full premium in one lump sum before Baoviet issues the
Certificate of Insurance, unless otherwise agreed in writing.
- This insurance policy will be void in case the Insured declares false reports, provide
incorrect information or fail to declare report important information.
- The insurance policy will be void in case the Insured does notmake notification of
changes and moves to the property insurance specified in 2.2.1.3
2.2.1.3. Notice of Change Insured House and Property
The Insured must notify Baoviet in writing in the event of any of the following changes:
- The Insured transfers ownership of the insured house for a period of insurance validity
- The Insured changes the nature of use or changes any condition otherwise affect the
existing home being insured and due to which increases the risk of damage to the insured
property
- The insured house is vacant (no occupants) over 30 days
- The insured property is moved to any house or place other than the insured home
- The Insured's benefit in the insured property ceases when the applicable law provides
otherwise

22
 2.2.1.4. Termination of the insurance policy ahead of time
- When the Insured requests early termination of the insurance policy, notify in writing to
Baoviet 15 days in advance termination date. If the policy is terminated by both parties,
When terminated, Baoviet will refund the Insured 80% of the insurance premium for the
period remaining, unless during the effective period of the policy has occurred insurance
event, Baoviet will not refund this remaining premium.
- In case Baoviet requests to terminate the insurance policy before Baoviet must notify
the Insured in writing 15 days in advance and refund the insurance premium to the
Insured in proportion to the remaining time of the Policy.
2.2.1.5. Limit of indemnity
In all cases, the total indemnity maximum amount that Baoviet has liability to pay for one
incident and the whole period of insurance does not exceed the Limit of Indemnity stated
on the Certificate of Insurance and does not exceed the actual amount of damage to the
house or property insured.
2.2.1.6. Idemnity basis
In the event that the House or property insured under this policy suffers damage or loss
covered by this policy, Baoviet is responsible for paying actual costs for repair and
replacement or rebuild (if repair is not possible) parts or the whole house or property.
New construction or replacement of the House and damaged insured properties is based
on the principle of replacement of the House and similar property, of the same size,
features and type but not exceeding the value of the insured property when they were
new.
This policy does not apply under-insurance.
2.2.1.7. Definition
- The deductible is the amount that the Insured has to bear for each loss or series of
losses arising from the same source or reason.
- An insured house is a construction work for the purpose of living and serving the daily
needs of households and individuals, built of brick, stone and cement, located on the
territory of Vietnam and stated in the Certificate of Insurance.
- Condominiums are apartments in high-rise apartment buildings, privately owned, used
for domestic purposes, has a location in the territory of Vietnam, specified in the
Certificate insurance.
- Internal property is understood as furniture, household appliances and parts
upgrading, renovating, reinforcing... is the property of the Insured or any member any
member of the Insured's family and located on the premises of the house insured.

23
- The Insured means the person or group of people named in the Certificate of
Insurance.
2.2.2. Coverage
2.2.2.1. Coverage
Baoviet indemnifies the Insured for damage caused by:
* FIRE (due to explosion or any other cause) but excludes:
- Earthquakes, volcanoes or other natural disaster
- Damage caused by:
+ Property self-fermenting, exothermic or self-igniting
+ Property was burned by order of a public authority
+ burned by underground fire
- Damage caused by or as a result of fires in forests, shrubs, fields grass, desert, or
rainforest, or burn the land even though it's random or not
LIGHTNING
Only indemnifies for damage to the insured property due to direct lightning (change
shape or ignite)
*EXPLOSION
Damage to equipment used solely for the purpose activities, but excluding damage
caused by earthquakes and volcanic eruptionsor other natural disaster
* THUNDERSTORM, FLOOD ( INCLUDE OVERFLOWING SEA WATER )
Baoviet indemnifies for damage caused by thunderstorm, flood ( include overflowing sea
water ) but excluding:
- loss or damage caused by subsidence or landslide
- loss or damage to the house during construction, rebuild or repair (unless the doors,
windows and doors completed to prevent these risks), awnings, blinds, signs, outdoor
televisions and antennas, aeronautical equipment, antennas column and outdoor towers or
outdoor equipment including gates and fences
*BREAK OR WATER OVERFLOW FROM WATER TANKS, WATER
STORAGE DEVICE OR WATER PIPES
Baoviet indemnifies for property damage caused by break or water overflow from water
tanks, water storage device, water pipes but excludes:
24
- For the House, loss or damage:
+ occurs when the House is not equipped with relevant equipment
+ caused by subsidence or landslide
- For Inside Property: damage caused to water tanks, water storage device or water pipes
*COLLIDE WITH THE HOUSE
Baoviet indemnifies for damage caused by collide with the house by non-owned road
vehicles, horses or livestock, or control of the Insured or any family members living with
with the Insured.
* THIEF
Baoviet indemnifies for damage to property and house due to burglary provided that there
are signs of using force and breaking into or escaping from the house, or trying to break
into or escape from the house .
2.2.2.2. Extended terms – Rent after loss
Baoviet indemnifies the Insured for reasonable expenses for the Insured's temporary
relocation such as renting a house elsewhere or indemnifying the Insured for loss of rent
incurred by the Insured during the time necessary to restore the house. The amount of
indemnification will not exceed 5% of the compensation limit for the part of the house
and not exceed 30 days during the insured period.
2.2.2.3. Exclusion of insurance
Damage occurring in the following cases is excluded under this rule:
- Damages caused by disturbances, mass uprisings, strikes, layoffs of workers
- Damage to any property or any loss or expense arising out of or arising out of such
damage or any consequential loss, directly or indirectly by or arising from:
+ Nuclear weapons materials
+ Intentional or unintentional use of rockets or any weapon of war
+ Ionizing radiation or radioactive contamination from nuclear fuel or from nuclear waste
resulting from the combustion of nuclear fuel. For this exclusion, the term “combustion”
shall include spontaneous nuclear fission reactions
- Damages caused by pollution, contamination, wear and tear, except (if not otherwise
excluded) damage to property insured caused by:
+ Pollution, contamination arising from perils insured

25
+ Any insured perils which themselves arise from contamination or contamination
- Damage caused by war, terrorism
2.2.3. Home insurance
2.2.3.1. The house is insured
- It is the house at the location stated in the insurance certificate
- The house is owned by the Insured or the Insured is legally responsible for taking care
of it
2.2.3.2. Deductible
The Insured is solely responsible for a loss or series of losses arising from the same cause
in the amount of VND 5,000,000/case of loss.
2.2.4. Home property insurance
2.2.4.1. Insured property
- Insured property is the entire property located in the area of the house in the insured
location stated on the insurance certificate
- Property must be owned or managed by the Insured and not excluded under clause
2.2.4.2 below
2.2.4.2. Uninsured property
- The property has been insured under one type/ other policy of insurance
- Assets that have been dismantled, stored in warehouses, have expired
- Gold, jewelry, precious stones, artwork, manuscripts, plans, pictures or designs, models,
patterns, medals, coins or precious books, securities, covenants or documents of any kind,
postage stamps, coins or cash, bank drafts, checks, travelers checks, money orders, mail
orders, drafts, promissory notes, pets
- Personal property includes clothing and designed personal items to wear, use or carry
(including but not limited to limited to mobile phones and laptops)
2.2.4.3. Deductible
The Insured is solely responsible for a loss or series of losses arising from the same cause
with the amount of 2,000,000 VND/case
2.2.5. Complaints & Indemnity
2.2.5.1. Responsibilities of the insured
When the occurrence of any damage giving rise to or possibly giving rise to a claim
under this policy , the Insured must:
- Immediately take measures to keep the loss to a minimum and seek lost properties

26
+ Written notice to Baoviet
+ Notify the police in case of damage caused by malicious acts of vandalism
- Within 30 days or longer with the written consent of Baoviet, the Insured must provide
Baoviet:
+ A claim file for lost or damaged property, listing in as much detail as possible all items
lost or damaged and the amount of the loss based on the value of the property at time of
loss
+ Details of all other insurance policies, if the insured have information
At its own expense, The Insured must collect and provide Baoviet with invoices,
vouchers, receipts, other documents, proofs, information relating to the loss, documents
stating the origin and cause of loss, loss situation, documents relating to Baoviet's
liability and such other documents as may be reasonably requested by Baoviet and the
Insured must send Baoviet a written undertaking authenticity of the claim and any matter
relating to the claim.
2.2.5.2. Loss of indemnity benefits
- The Insured will lose the right to indemnify under this policy if their claim is false in
any respect, or if the Insured or their representatives use tricks and willful means to
obtain profit under this policy or damage is caused by intentional act or complicity of the
Insured - Benefits under this policy will also lapse in respect of any claim:
+ It was denied without litigation or proceedings within 12 months since being denied
compensation
+ It was settled through negotiation on the terms ofthis insurance policy with letter of
approval and transfer of rights complaint of the insured.
+ It was resolved in accordance with the current provisions of Vietnamese law
2.2.5.3. Benefits of Bao Viet
In the event of a loss resulting in a claim for compensation, Baoviet and any
representative of Baoviet have the right to perform the following actions without liability
or without prejudice to the rights of Baoviet.
- Visit the site to inspect or temporarily seal the Insured Homes where the loss occurred
- Seal or require the Insured to deliver to Baoviet for custody any insured property for
reasonable purposes and in a reasonable manner. The Insured has no right to surrender
the lost property to Baoviet whether or not Baoviet has seized such property

27
 2.2.5.4. Duplicate insurance under multiple insurance policies
If at the time of the damage, such property was insured by another policy, then in any
case Baoviet's liability shall be limited to the loss amortized to the policy according to
proportional
2.2.5.5. Subrogation
At the request and expense of Baoviet, the Claimant under this Policy must perform,
jointly perform or authorize any work necessary and reasonable to exercise its rights and
remedies. defense, or to prove that Baoviet is exonerated, or to seek compensation from a
third party. Those are the rights that Baoviet enjoys after indemnifying the Insured.
However, these works may be carried out or required to be carried out before or after
Baoviet indemnifies
2.2.5.6. Dispute resolution
The parties hereby agree and agree that any dispute arising out of this Policy shall be
prioritized to be resolved by negotiation between the parties. In case one party refuses or
does not agree on the settlement plan, the dispute will be brought to the Court in Vietnam
for settlement according to current regulations of the State of Vietnam.
2.2.5.7. Assignment
If at the time of damage, the Insured has made a contract to sell his/her interest in any
house or property insured under this Policy but the sale and purchase procedure has not
been completed, After completing the purchase and sale procedures, the Buyer will be
entitled to the benefits under this Policy provided that it has been approved by Baoviet if
it does not prejudice the rights and obligations of the Insured or Baoviet before procedure
completion date
2.2.6. Insurance premium
2.2.6.1. Home insurance
Table 2.2.6.1. INSURANCE PREMIUM OF THE HOUSE PART OF BAO VIET
INSURANCE CORPORATION
Premium for 1 year, Unit: VND
Limit of Buildin Basic Additional premiums (2) Total
indemnity g time premium Thunderstor Break Collid Thief (1+2)
(1) m, flood or e with
(lightnin water the
g, fire, overflo house
explosio w
n)
300.000.000 1-15 270.000 54.000 27.000 14.000 40.000 405.000
years

28
 15-25 420.000 84.000 42.000 21.000 63.000 630.000
years
500.000.000 1-15 450.000 90.000 45.000 22.000 68.000 675.000
years
15-25 700.000 140.000 70.000 35.000 105.00 1.050.00
years 0 0
800.000.000 1-15 720.000 144.000 72.000 36.000 108.00 1.080.00
years 0 0
15-25 1.120.00 224.000 112.00 56.000 168.00 1.680.00
years 0 0 0 0
1.100.000.0 1-15 990.000 198.000 99.000 50.000 148.00 1.485.00
00 years 0 0
15-25 1.430.00 286.000 143.00 72.000 214.00 2.145.00
years 0 0 0 0
1.500.000.0 1-15 1.350.00 270.000 135.00 68.000 202.00 2.025.00
00 years 0 0 0 0
15-25 1.950.00 390.000 195.00 98.000 292.00 2.925.00
years 0 0 0 0
2.000.000.0 1-15 1.800.00 360.000 180.00 90.000 270.00 2.700.00
00 years 0 0 0 0
15-25 2.600.00 520.000 260.00 130.00 390.00 3.900.00
years 0 0 0 0 0
2.500.000.0 1-15 2.250.00 450.000 225.00 112.00 338.00 3.375.00
00 years 0 0 0 0 0
15-25 3.000.00 600.000 300.00 150.00 450.00 4.500.00
years 0 0 0 0 0
3.000.000.0 1-15 2.700.00 540.000 270.00 135.00 405.00 4.050.00
00 years 0 0 0 0 0
15-25 3.600.00 720.000 360.00 180.00 540.00 5.400.00
years 0 0 0 0 0
3.600.000.0 1-15 3.240.00 648.000 324.00 162.00 486.00 4.860.00
00 years 0 0 0 0 0
15-25 4.320.00 864.000 432.00 216.00 648.00 6.480.00
years 0 0 0 0 0
4.200.000.0 1-15 3.780.00 756.000 378.00 189.00 576.00 5.670.00
00 years 0 0 0 0 0
15-25 5.040.00 1.008.000 504.00 252.00 756.00 7.560.00
years 0 0 0 0 0
5.000.000.0 1-15 4.500.00 900.000 450.00 225.00 675.00 6.750.00
00 years 0 0 0 0 0
15-25 6.000.00 1.200.000 600.00 300.00 900.00 9.000.00
years 0 0 0 0 0

29
( Source: Bao Viet Insurance Coporation )

2.2.6.2. Home property insurance

Table 2.2.6.2. INSURANCE PREMIUM OF PROPERTY INSIDE THE HOUSE OF
BAO VIET INSURANCE CORPORATION
Premium for 1 year, Unit: VND
Basic
Additional insurance
insurance
premium
premium
Compensation Compensation
(Risks of Thunderstorm, Total
limit limit per item
Fire, Flood, Water Collision premium
Lightning, overflow, with the
Explosion) Robbery house

100.000.000 50.000.000 150.000 30.000 9.000 249.000

300.000.000 50.000.000 450.000 90.000 27.000 747.000
500.000.000 50.000.000 750.000 150.000 45.000 1.245.000
750.000.000 50.000.000 1.125.000 225.000 68.000 1.868.000
1.000.000.000 50.000.000 1.500.000 300.000 990.000 2.490.000
( Source: Bao Viet Insurance Coporation )

CHAPER III: COMPARE THIS PRODUCT WITH PRODUCT OF BIDV

INSURANCE COPORATION AND PRESENT YOUR GROUP OPINIONS ON
GIVING ADVICE TO HELP INDIVIDUAL CUSTOMERS CHOOSE TO BUY
ONE OF THOSE TWO PRODUCTS
3.1. Compare with product of BIDV Insurance Coporation
 Similar:
In general, the private home insurance products of Bao Viet insurance corporation
and Bidv insurance corporation are similar in the following parts: Objects of insurance,
Policy of insurance, Insurance of indoor property, Complaints for compensation have

30
been mentioned in chapter 2. In addition, these 2 companies are similar in terms of
Compensation limit per item in the house (= 50.000.000 VND)
 Differences:
Bao Viet insurance
Bidv insurance corporation
corporation
Bao Viet indemnifies the In addition to the same insurance
insured for damage caused by: coverage as Baoviet, BIC also has:
- Fire (including lightning - Expenses for cleaning up the site;
strikes) - Expenses for fire fighting;
- Explode
- Thunderstorms, storms,
floods (including sea water
1. Coverage
overflow)
- Breaks or overflows from
water tanks, water storage
equipment or water pipes
- Collision with the house
- Theft
- Renting a house after the loss
2. Home - Is the house at the location In addition to the same home
insurance stated in the insurance insurance conditions as Bao Viet,
certificate. BIC also has:
- The house is owned by the - The home covered by this Policy
insured or the insured is legally must meet specific criteria under
responsible for managing it. either of the following categories:
a. Apartment buildings: Height from
5 floors or more; Time from
completion of construction and
putting into use does not exceed 25

31

3. Insurance The Insured's own
deductible for responsibility for a loss or a
the property series of losses arising from the from the same cause in the amount
inside the same cause in the amount of
house VND 2,000,000/case of loss.
The Insured is solely
4. Insurance
responsible for a loss or series
deductible for
of losses arising from the same
the house
cause in the amount of VND
part
5,000,000/case of loss.
5. Insurance Baoviet's compensation limit is
premium of from 300 million to 5 billion,
the house the compensation level is even
part Total fee for the compensation
limit of 300 million VND for
the period of 1-15 years will be
405,000 VND/year and for the
period of 15-25 years will be
32
years until the effective date of the
policy.
b. Adjacent houses, villas: The road
to the house must be at least 4m
wide or ensure the access of fire
fighting vehicles in case of fire and
explosion incidents; Time from
completion of construction and
putting into use does not exceed 25
years until the effective date of the
policy.
The Insured's own responsibility for
a loss or a series of losses arising
of VND 3,000,000/case of loss.
The Insured is solely responsible for
a loss or series of losses arising
from the same cause in the amount
of VND 3,000,000/case of loss.
BIC's compensation limit is also
from 300 million to 5 billion, but
there are different changes in
compensation price compared to
Baoviet.
The total fee for the compensation
limit of 300 million VND for the
period of 1-15 years will be 360,000
 630,000 VND/year
With Baoviet's compensation
limit of 100 million VND,
customers will have to pay a
fee of 249,000 VND/year; and
6. Insurance with a compensation limit of 1
premium of billion, customers will have to
property pay a fee of 2,490,000
inside the VND/year
house
VND/year and for the period of 15-
25 years will be 540,000 VND/year
It shows that, with the same
compensation, the total cost of BIC
will be cheaper, helping customers
maximize costs when using
insurance products.
With BIC's compensation limit of
100 million VND, customers will
have to pay a fee of 150,000
VND/year; and with a compensation
limit of 1 billion, customers will
have to pay a fee of 1,500,000
VND/year.
It demonstrates that the overall cost
of BIC is cheaper with the same
reward, assisting clients in
maximizing savings when utilizing
insurance goods.

 Compare insurance premium of Bao Viet Insurance Corporation with BIC

Table 3.1.1. INSURANCE PREMIUM OF PROPERTY INSIDE THE HOUSE OF
BAO VIET INSURANCE CORPORATION
Premium for 1 year, Unit: VND
Compensation Compensation Basic Total
Additional insurance
limit limit per item insurance premium
premium
premium
(Risks of Thunderstorm, Collision

33
 Flood, Water
overflow, with the
Fire, Robbery house
Lightning,
100.000.000 50.000.000 150.000
Explosion) 30.000 9.000 249.000
300.000.000 50.000.000 450.000 90.000 27.000 747.000
500.000.000 50.000.000 750.000 150.000 45.000 1.245.000
750.000.000 50.000.000 1.125.000 225.000 68.000 1.868.000
1.000.000.000 50.000.000 1.500.000 300.000 990.000 2.490.000
(Sourse: Bao Viet Insurance Corporation )

Table 3.1.2. INSURANCE PREMIUM OF PROPERTY INSIDE THE HOUSE OF

BIDV INSURANCE CORPORATION
Premium for 1 year, Unit: VND
Additional insurance
Basic premium
insurance Site
Thunderstorm,
premium clean-up
Compensation Compensation Flood, Water
(Risks of costs, Total
limit limit per item overflow,
Fire, fire premium
Robbery,
Lightning, fighting
Collision with
Explosion) costs,
the house
Rent
after loss
100.000.000 50.000.000 100.000 15.000 35.000 150.000
300.000.000 50.000.000 300.000 45.000 105.000 450.000
500.000.000 50.000.000 500.000 75.000 175.000 750.000
750.000.000 50.000.000 750.000 112.500 262.500 1.125.000
1.000.000.000 50.000.000 1.000.000 150.000 350.000 1.500.000
34
(Sourse: BIDV Insurance Corporation )
 Comparing the two tables above, it can be seen that with the same level of
compensation limit, although BIC provides 2 more products, which are site cleanup costs
and fire fighting costs, the total premium of BIC is still cheaper than that of Bao Viet
Insurance Corporation. In addition, Baoviet's total insurance premium of property inside
the house is 1.66 times higher than BIC's, showing that the difference in premiums of the
two companies is quite high.

Table 3.1.3. INSURANCE PREMIUM OF THE HOUSE PART OF BAO VIET

INSURANCE CORPORATION
Premium for 1 year, Unit: VND
Limit of Buildin Basic Additional premiums (2) Total
indemnity g time premium Thunderstor Break Collid Thief (1+2)
(1) m, flood or e with
(lightnin water the
g, fire, overflo house
explosio w
n)
300.000.000 1-15 270.000 54.000 27.000 14.000 40.000 405.000
years
15-25 420.000 84.000 42.000 21.000 63.000 630.000
years
500.000.000 1-15 450.000 90.000 45.000 22.000 68.000 675.000
years
15-25 700.000 140.000 70.000 35.000 105.00 1.050.00
years 0 0
800.000.000 1-15 720.000 144.000 72.000 36.000 108.00 1.080.00
years 0 0
15-25 1.120.00 224.000 112.00 56.000 168.00 1.680.00
years 0 0 0 0
1.100.000.0 1-15 990.000 198.000 99.000 50.000 148.00 1.485.00
00 years 0 0
15-25 1.430.00 286.000 143.00 72.000 214.00 2.145.00
years 0 0 0 0
1.500.000.0 1-15 1.350.00 270.000 135.00 68.000 202.00 2.025.00
00 years 0 0 0 0
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 15-25 1.950.00 390.000 195.00 98.000 292.00 2.925.00
years 0 0 0 0
2.000.000.0 1-15 1.800.00 360.000 180.00 90.000 270.00 2.700.00
00 years 0 0 0 0
15-25 2.600.00 520.000 260.00 130.00 390.00 3.900.00
years 0 0 0 0 0
2.500.000.0 1-15 2.250.00 450.000 225.00 112.00 338.00 3.375.00
00 years 0 0 0 0 0
15-25 3.000.00 600.000 300.00 150.00 450.00 4.500.00
years 0 0 0 0 0
3.000.000.0 1-15 2.700.00 540.000 270.00 135.00 405.00 4.050.00
00 years 0 0 0 0 0
15-25 3.600.00 720.000 360.00 180.00 540.00 5.400.00
years 0 0 0 0 0
3.600.000.0 1-15 3.240.00 648.000 324.00 162.00 486.00 4.860.00
00 years 0 0 0 0 0
15-25 4.320.00 864.000 432.00 216.00 648.00 6.480.00
years 0 0 0 0 0
4.200.000.0 1-15 3.780.00 756.000 378.00 189.00 576.00 5.670.00
00 years 0 0 0 0 0
15-25 5.040.00 1.008.000 504.00 252.00 756.00 7.560.00
years 0 0 0 0 0
5.000.000.0 1-15 4.500.00 900.000 450.00 225.00 675.00 6.750.00
00 years 0 0 0 0 0
15-25 6.000.00 1.200.000 600.00 300.00 900.00 9.000.00
years 0 0 0 0 0
(Sourse: Bao Viet Insurance Corporation )

Table 3.1.4. INSURANCE PREMIUM OF THE HOUSE PART OF BIDV

INSURANCE CORPORATION
Premium for 1 year, Unit: VND

Additional insurance premium

Building
Limit of time Basic Total
indemnity Unit: premium Thunderstorm, Site clean-up premium
year costs, fire
Flood, Water
fighting
overflow, costs, Rent

36
 Robbery, Collision
with the house after loss

1-15
225.000 45.000 90.000 360.000
years
300.000.000
15-25
360.000 60.000 120.000 540.000
years
1-15
375.000 75.000 150.000 600.000
years
500.000.000
15-25
600.000 100.000 200.000 900.000
years
1-15
562.500 112.500 225.000 900.000
years
750.000.000
15-25
900.000 150.000 300.000 1.350.000
years
1-15
750.000 150.000 300.000 1.200.000
years
1.000.000.000
15-25
1.200.000 200.000 400.000 1.800.000
years
1-15
1.125.000 225.000 450.000 1.800.000
years
1.500.000.000
15-25
1.800.000 300.000 600.000 2.700.000
years
1-15
1.500.000 300.000 600.000 2.400.000
years
2.000.000.000
15-25
2.400.000 400.000 800.000 3.600.000
years
1-15
2.250.000 450.000 900.000 3.600.000
years
3.000.000.000
15-25
3.600.000 600.000 1.200.000 5.400.000
years
1-15
3.000.000 600.000 1.200.000 4.800.000
years
4.000.000.000
15-25
4.800.000 800.000 1.600.000 7.200.000
years
1-15
3.750.000 750.000 1.500.000 6.000.000
years
5.000.000.000
15-25
6.000.000 1.000.000 2.000.000 9.000.000
years
(Sourse: BIDV Insurance Corporation )

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 Comparing the insurance premiums of 2 companies, it can be seen that the insurance
premium of BIC is cheaper than that of Bao Viet insurance corporation. The reason is
that BIC is a new player in the market, so it has reduced its premiums to compete with
other insurers. In contrast, Baoviet has a long-standing brand reputation and is a state-
owned enterprise, so the premium will be slightly higher.
3.2. The strengths and weaknesses of Bao Viet insurance corporation and BIC
Bao Viet insurance corporation Bidv insurance corporation
Strength 1) Currently, the distribution 1) With the advantage of being a
channel that brings the largest member of BIDV with a wide
revenue for private home insurance network and a large customer
products is the traditional channel volume, BIC has focused on
(agents, brokers). Taking advantage implementing the insurance
of the agency system of motor distribution channel through the
vehicle insurance and personal bank - Bancassurance.
insurance to deploy private home 2) Currently, BIC is the market
insurance with a comprehensive leader in developing Bancassurance
product package for individuals is a channel and online insurance
reasonable and effective channel (E-business).
distribution channel. In this way, 3) BIC products have a simple and
we can not only take advantage of understandable deductible for
the available customer base, but customers (the Insured is
also save the cost of exploiting and responsible for a loss or a series of
finding customers. losses arising from the same cause
2) The advantage of long-standing with the amount of VND
brand reputation (nearly 60 years), 3,000,000/case of loss)
as well as establishing good 4) Being the first insurance
relationships with organizations to company with an extensive network
expand exploitation areas and find of operations in the Indochina

38
customers. market.
3) Thanks to abundant, well-trained 5) As a member of BIDV, when
human resources and a wide BIC deploys its products through
network, private home insurance BIDV's branches, it will certainly
products have been introduced and receive a lot of support from the
deployed throughout the country. bank's employees because of the
The image of the product and the same system, moreover the Sharing
corporation reaches a large number information between banks and
of customers. insurance companies is also easier
4) Use measures to encourage and more convenient than other
customers to buy private home forms of cooperation between banks
insurance through the premium and other insurance companies.
reduction incentive program: 6) Flexible premium policy
+ Application with a term of 2 7) Young and dynamic human
years: 15% reduction of insurance resources.
premium; 8) BIC's home product insurance
+ Application with a term of 1 year: premium is cheaper than Baoviet's.
5% discount on insurance
premiums for customers
participating in other products of
Bao Viet Insurance.
Thanks to that, it has boosted the
revenue of exploiting private home
insurance products.
5) Simple joining procedures,
attentive customer service quality,
creating trust with customers.
6) There is regular support from
Vietnam Insurance Corporation, as

39
 well as good coordination with
friends to develop new operations.
7) Strong financial strength.
1) Bao Viet is more difficult as a
state-owned enterprise, must
comply with the state mechanism,
cannot break the barrier to increase
the commission rate like some units
in the same industry.
2) The network is wide and
operating in many fields, so if the
management is not good, it will be
a real difficulty to operate the
system smoothly.
3) There is no flexible fee policy,
Weaknes
other insurance companies often
s
lower their fees very low, making it
easy for Bao Viet to lose services
4) The insurance premium is quite
expensive compared to the
insurance market.
40
1) As a new insurance company
entering the market, the pressure to
compete with other insurance
companies is huge
2) Small scale operation, low
market share, weak distribution
system.
3) Customer policy is not really
competitive, for example, for large
customers, customers with long-
term cooperation relationship with
BIC also do not have preferential
policies, so it will be easy to lose
customers if competitors players
have better policies.
4) Human resources are young, so
they lack market experience, do not
have a deep understanding of
insurance expertise, so management
and administration still face many
difficulties.
5) The settlement of complaints and
compensation is sometimes slow,
administrative procedures also
allow unnecessary complaints..
3.3. Giving advice product that individual customers should choose
After analyzing the strengths and weaknesses of Bao Viet insurance corporation and BIC,
our group advises individual customers to choose BIC's private home insurance product,
because:
- Although it is a new insurance company entering the market, the competitive pressure
with other insurance companies is great, but with the low total insurance premium
payable by customers, BIC is considered as a place "choosing the face to deposit gold"
from quite a few customers
- BIC products have a simple and understandable deductible for customers (the Insured is
responsible for a loss or a series of losses arising from the same cause with the amount of
VND 3,000,000/case of loss.)
- The compensation fee is the same, but the basic cost and additional fee of BIC are much
less than Baoviet. With BIC's compensation limit of 300 million VND, customers will
have to pay a fee of VND 450,000/year (VND 297,000 less than Bao Viet); with a
compensation limit of 700 million VND, customers will have to pay a fee of 1,125,000
VND/year( 743,000 VND less than Bao Viet)
-BIC's products are more diversified when applied to risks: Site clean-up costs, Fire
fighting costs (The maximum liability of BIC for this item is 5% of the Highest Limit of
Liability.)
- The cost of Baoviet is more expensive than BIC, so for BIC insurance, when customers
pay less insurance premiums, the compensation fee and customer benefits receive the
same amount of compensation.
- Being the first insurance company with an extensive network of operations in the
Indochina market.
- As a member of BIDV, BIC will undoubtedly receive a lot of support from the bank's
staff when it distributes its products through BIDV's branches due to the same system. In
addition, sharing information between banks and insurance companies is also simpler and

41
more practical than other forms of cooperation between banks and other insurance
companies.
- By selling its goods through BIDV's branches, BIC is now able to considerably reduce
the costs associated with branch opening, make technology investments, and free up
money to use for other purposes. other pursuits, considerably boosting the
competitiveness of BIC

CONCLUSION
It can be said that since being deployed until now, the private home insurance product has
been an effective tool to ensure safety and a financial shield for households. This is an
essential insurance product for everyone.
Through this discussion, we have pointed out the similarities and differences between the
two products of BIC and Bao Viet insurance corporation. In addition, the group also
pointed out the strengths and weaknesses of each type and gave personal advice to help
customers make the best choice when buying one of the two products. It is hoped that in
the future with the innovation of economic management mechanism, the efforts of
insurance enterprises and the change in the mind of citizens, private home insurance and
insurance products will be developed strongly and contributed significantly to the
economic development of the country.

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