Sun Life Indonesia and CIMB Niaga deepen bancassurance partnership in Indonesia

Rhea-AI Summary

On April 5, 2022, Sun Life Indonesia and CIMB Niaga announced a deepened partnership in Indonesia, now extending their collaboration for 15 years starting January 2025. This agreement enhances Sun Life's insurance offerings through all CIMB Niaga channels, leveraging a broad network of 427 branches serving 7 million customers. The partnership aims to address the growing insurance needs of Indonesia's emerging middle class, marking a significant strategy to expand Sun Life's distribution capacity and enhance customer value.

Positive

• Partnership extends until 2039, solidifying long-term growth.
• Access to CIMB Niaga's extensive network of 427 branches and 7 million customers enhances distribution.
• Focus on Indonesia's growing insurance needs due to low penetration rates offers significant market potential.

Negative

• None.

JAKARTA, Indonesia and TORONTO, April 5, 2022 /PRNewswire/ - PT Sun Life Financial Indonesia (Sun Life Indonesia), a subsidiary of Sun Life Financial Inc. (TSX: SLF) (NYSE: SLF), and PT Bank CIMB Niaga Tbk (CIMB Niaga; IDX: BNGA) announced today that they are deepening their existing partnership in Indonesia.

Sun Life Indonesia currently offers insurance solutions to CIMB Niaga customers through digital and out-of-branch channels. This new agreement makes Sun Life Indonesia the provider of insurance solutions to CIMB Niaga customers through all channels for a term of 15 years starting in January 2025. It also extends the term of the existing relationship by six (6) years to 2039.

This partnership combines Sun Life Indonesia's comprehensive range of insurance solutions and expert Client care across all life stages with CIMB Niaga's extensive distribution network of 427 branches serving seven (7) million customers across Indonesia. Established in 1955, CIMB Niaga is the second largest private bank by total assets in Indonesia as of December 31, 2021. Sun Life is also the exclusive bancassurance partner for CIMB Group in Malaysia.

The Indonesian market is the largest economy in Southeast Asia and offers significant growth potential, reflecting a young, emerging middle class with low insurance penetration rates. This deepening partnership will accelerate Sun Life's long-term strategy to grow its distribution capacity, supported by bancassurance. It will also enhance the value proposition for CIMB Niaga customers and provide them with a comprehensive range of protection and long-term savings solutions to address their evolving needs.

"We are delighted to deepen our regional partnership with CIMB to help millions more Clients in Indonesia achieve lifetime financial security and live healthier lives," said Ingrid Johnson, President of Sun Life Asia. "It will also extend Sun Life's reach in a market with tremendous potential for further growth with a partner that shares our focus on building a brighter, more sustainable future for Clients, employees and communities." 

"We are pleased to deepen our partnership with Sun Life Indonesia. This partnership marks another step in CIMB Niaga's continued efforts to be the bank of choice for Indonesian consumers and businesses. CIMB Niaga and Sun Life Indonesia have highly complementary strengths and a shared focus on providing an extraordinary experience for our customers. Together, we foresee that this partnership will help us create significant lasting value for our customers and key stakeholders," said CIMB Niaga President Director Lani Darmawan.

"As one of Indonesia's leading banks, our customers rely on us to deliver best-in-class products and services. By deepening our partnership with Sun Life Indonesia, we are reaffirming our commitment to provide high-quality solutions across wealth and insurance products to serve customers' needs today and in the future," said Noviady Wahyudi, Chief of Consumer Banking CIMB Niaga.

"It is a great honour to strengthen the partnership between Sun Life Indonesia and CIMB Niaga. CIMB Niaga is a quality bank with a well-known brand and has been a trusted partner to Sun Life Indonesia since 2009. During that time, we have developed a lasting partnership as we worked together to build a comprehensive range of protection and financial solutions for Indonesians at every life stage," says Elin Waty, President Director of Sun Life Indonesia.

Visit www.sunlife.com for slides and more information related to this announcement.

About Sun Life

Sun Life is a leading international financial services organization providing asset management, wealth, insurance and health solutions to individual and corporate Clients. Sun Life has operations in a number of markets worldwide, including Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China, Australia, Singapore, Vietnam, Malaysia and Bermuda. As of December 31, 2021, Sun Life had total assets under management of $1.44 trillion. For more information please visit www.sunlife.com.

Sun Life Financial Inc. trades on the Toronto (TSX), New York (NYSE) and Philippine (PSE) stock exchanges under the ticker symbol SLF.

About Sun Life Indonesia

Sun Life Indonesia is a wholly owned subsidiary of Sun Life Financial Inc. It offers a variety of protection and financial management products, from life insurance, education insurance, health insurance, and retirement plans. Sun Life Indonesia partners with leading financial institutions, both national and international, to serve multi-channel distribution strategies and provide wider access to our insurance solutions.

For more information please visit www.sunlife.co.id

About CIMB Niaga

CIMB Niaga was established under the name PT Bank Niaga in 1955. Approximately 92.5% of CIMB Niaga's shares (including the 1.02% owned by PT Commerce Kapital) are owned by CIMB Group. As the second largest private bank in Indonesia by assets, CIMB Niaga offers a comprehensive portfolio of conventional and shariah banking services, including consumer banking, SME banking, commercial and corporate banking, treasury and capital markets, and transaction banking services, supported by nationwide 427 branch offices, 4,481 ATM units, branchless banking networks, as well as 12,217 employees (consolidated) as of December 31, 2021.

Sun Life Press Contacts Shierly Ge Chief Marketing Officer Sun Life Indonesia T: +62 21 5289 0000 shierly.ge@sunlife.com	Sun Life Investor Relations Contacts Yaniv Bitton Vice-President, Head of Investor Relations & Capital Markets T: +1 (416) 979-6496 Investor_relations@sunlife.com
Sarah James Head of Communications Sun Life Asia T: +852 6021 5797 sarah.james@sunlife.com	David Mathews Assistant Vice-President, Investor Relations & Capital Markets T: +1 (416) 979-6464 Investor_relations@sunlife.com
Rajani Kamath Associate Vice-President Corporate Communications Sun Life T: +1 (647) 515-7514 rajani.kamath@sunlife.com
CIMB Niaga Press Contact Deddy T. Hasibuan Media Relations and Reputation Group Head CIMB Niaga T: +62 21 270 0555	CIMB Niaga Investor Relations Contact Graha CIMB Niaga Jl. Jend Sudirman Kav. 58 Jakarta 12190, Indonesia T: +62 21 250 5252, 250 5353 Website: www.cimbniaga.co.id investor.relations@cimbniaga.co.id

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SOURCE Sun Life Financial Inc.

FAQ

What is the duration of the new partnership between Sun Life Indonesia and CIMB Niaga?

The new partnership will last for 15 years starting January 2025, extending the existing relationship until 2039.

How many branches does CIMB Niaga have to support Sun Life Indonesia?

CIMB Niaga operates 427 branches across Indonesia to support Sun Life Indonesia.

What is the significance of this partnership for Sun Life Financial (SLF)?

This partnership is significant as it allows Sun Life to enhance its distribution capacity in the rapidly growing Indonesian insurance market.

When was the announcement for the deepened partnership made?

The announcement was made on April 5, 2022.

How many customers does CIMB Niaga serve?

CIMB Niaga serves approximately 7 million customers.