Banco Santander and BBVA have focused on the growth margin they detect in their main emerging markets in the insurance business: Brazil, in the case of Santander, and Mexico and Turkey, in the case of BBVA.
The global CEO of Santander Insurance, Peter Huber, has emphasized that Mexico is "an interesting market, with a lot of potential." At the same time, he has admitted that the country poses challenges derived from its own social structure, marked by the almost non-existence of a middle class.
"In the most mass segment, it is important that the coverages are simpler, cheaper, intuitive, digital...", Huber explained during his speech at the annual conference of the Association for the Insurance Mediation of Financial Entities (Amaef). In contrast, he specified that clients with greater wealth require a more personalized relationship and deeper advice on issues such as retirement or asset protection.
For his part, the global head of BBVA Insurance, Edgar Karam Kassab, has highlighted the role of Turkey as a "tremendously digital" country, where the entity has extensive distribution and customer analysis capabilities.
However, Karam has pointed out that the great challenge in Turkey is the low penetration of Life insurance, as the bulk of the market is concentrated in Damage, Auto, or Health policies.
Regarding Mexico, where BBVA operates the largest bank in the country, the executive has emphasized the opportunity that the insurance gap opens. According to data from the 'blue' bank itself, only 30% of vehicles have insurance and, in the case of homes, the rate is around 25%. "The potential in both Mexico and Turkey is huge," he concluded.