PETALING JAYA, RHB Bank Bhd has signed exclusive 20-year bancassurance and bancatakaful agreements with Tokio Marine Life Insurance Malaysia Bhd and Takaful Malaysia, in deals valued at up to RM1.62 billion.
Under the agreements, RHB Bank will serve as the exclusive distributor of Tokio Marine Life’s conventional life insurance products. Meanwhile, its wholly owned subsidiary, RHB Islamic Bank Bhd, will distribute family and general takaful products offered by Syarikat Takaful Malaysia Keluarga Bhd (STMKB) and its subsidiary, Syarikat Takaful Malaysia Am Bhd.
The parties have also entered into a framework agreement to outline the overall structure and coordination of the partnerships.
In a filing with Bursa Malaysia, RHB stated that the RM1.62 billion access fee reflects the expected insurance and takaful business volume to be generated over the 20-year period, through both its branch network and digital platforms.
“This includes projected sales of insurance and takaful products through physical branches and online channels, based on past performance and future growth projections,” the bank said.
Proceeds from the access fee will be channelled towards working capital requirements and future growth plans.
RHB added that the partnership will provide a strong upfront profit contribution, ensure long-term revenue stability, and allow further development of its operational and digital integration with its insurance partners.
In a separate filing, STMKB noted that while the agreement is not expected to significantly impact earnings for the financial year ending Dec 31, 2025, it is expected to contribute positively to the group’s long-term profitability.
