American International Assurance (AIA) of Singapore was initially known as International Assurance Co. Ltd (INTASCO). Originally founded as the American Asiatic Underwriters in Shanghai in 1919, it was renamed INTASCO in 1931. INTASCO first began its operations in Shanghai, and soon established branch offices in Hong Kong, Malaya, Thailand and Singapore in the same year. When INTASCO was fully acquired by Starr in 1948, he added "American" to its name, changing it to American International Assurance (AIA). That same year, AIA re-opened its regional office in Singapore.
Postwar History
In 1958, Sir Robert Heatlie Scott, Commissioner-General for the United Kingdom office in Southeast Asia, officially opened the American International Building at the heart of Singapore's business district. At that time, it was the largest building that AIA had constructed in Southeast Asia.
In the 1950s, health insurance was at its infancy. Derek Booth, a Singaporean residing in Kuala Lumpur, was commissioned by AIA to research on the potential of health insurance in Singapore and the region. This venture turned out to be a new growth area for AIA. As a life company, it was able to provide a comprehensive range of insurance schemes, including group term life insurance, personal accident and hospital/surgical benefits.
By the 1960s, the number of AIA competitors had grown. They included the New Zealand Insurance (NZI), AFIA Worldwide Insurance and British European Association. AIA, NZI and AFIA took a large share of health insurance business. By the mid-60s, AIA had successfully built up a large portfolio of clients. They continued to broaden their base in Singapore and Malaysia. Within a few years, AIA had firmly secured contracts from the "Big Four" petroleum companies, Shell, Esso, Mobil and Caltex. These took place against the backdrop of rapid industrialisation in the 1960s when many multi-national companies heeded the call of the Economic Development Board to build and establish their plants and factories in Singapore.
Later Developments
By the early 1970s, health insurance had established a firm footing in Singapore as brokers and agents marketed health insurance as part of the insurance package. Lower level employees, who were covered by health insurance schemes, were now able to enjoy better ward facilities in the government hospitals while the managers and executives could opt to stay in the private hospitals for treatment. In this period, AIA began to face competition from insurers such as Red Shield, China Underwriters, Travellers and Insurope, ICS (Life Division), Netherlands Insurance (Blue Cross Scheme), NTUC Income, Great Eastern Life, Overseas Assurance, Royal and Norwich Winterthur, all of which wanted a share of the local health insurance market.
The 1980s saw a period of significant growth and expansion for AIA. AIA rented space for its administrative and agency offices in Far East Finance Building, Parkway Parade (since 1984), Shing Kwan House (since 1987), Boon Siew Building (since 1989), Concorde and Seaview Hotels.
In the 1990s, AIA's headquarters resided in a temporary location at Gateway East as the new AIA Tower was being built. At the ground-breaking ceremony of the AIA Tower on 19 November 1991, a time capsule containing items such as a 1962 rate book and other AIA mementoes, was buried. Two years later, the 25-storey state-of-the-art AIA Tower was officially opened by AIG Chairman and CEO, Maurice Greenberg. The agency also established permanent offices in the 1990s with the opening of AIA Tanjong Pagar on 24 February 1992, and AIA Changi and Alexandra on 19 July 1994. During the late 1990s, the company gained recognition for achieving a string of "firsts" in the Singapore insurance industry. These include the first company to be selected by SPRING Singapore as the model on-the-job training company for the insurance industry (1997), the first to instantly approve group in-patient claims processes for corporate clients (1998), the first to bring paramedic services directly to the customer's doorstep (1998) and the first to receive the People Developer Award from SPRING Singapore (1999).
In the early 21st century, AIA laid claim to being the first Asia-based life insurance company to be given "AAA" - the highest rating by Standard and Poor, and the first life insurance company in Asia to receive the ISO 9002 Certification. Local accolades include admission to the Productivity and Standard Board's (PSB) Singapore Quality Class (1994) and the first insurer to receive PSB's People Developer Award (2001). It was also named eInsurer of the Year in recognition of AIA's contributions towards Singapore's e-development (2001).
Author
Kartini Saparudin
References
American International Asssurance. (2007). AIA in Singapore. Retrieved June 19, 2007, from http://www.aia.com.sg/content.asp?ca_typeid=2&ca_categoryid=7&ca_articleid=1
Postwar History
In 1958, Sir Robert Heatlie Scott, Commissioner-General for the United Kingdom office in Southeast Asia, officially opened the American International Building at the heart of Singapore's business district. At that time, it was the largest building that AIA had constructed in Southeast Asia.
In the 1950s, health insurance was at its infancy. Derek Booth, a Singaporean residing in Kuala Lumpur, was commissioned by AIA to research on the potential of health insurance in Singapore and the region. This venture turned out to be a new growth area for AIA. As a life company, it was able to provide a comprehensive range of insurance schemes, including group term life insurance, personal accident and hospital/surgical benefits.
By the 1960s, the number of AIA competitors had grown. They included the New Zealand Insurance (NZI), AFIA Worldwide Insurance and British European Association. AIA, NZI and AFIA took a large share of health insurance business. By the mid-60s, AIA had successfully built up a large portfolio of clients. They continued to broaden their base in Singapore and Malaysia. Within a few years, AIA had firmly secured contracts from the "Big Four" petroleum companies, Shell, Esso, Mobil and Caltex. These took place against the backdrop of rapid industrialisation in the 1960s when many multi-national companies heeded the call of the Economic Development Board to build and establish their plants and factories in Singapore.
Later Developments
By the early 1970s, health insurance had established a firm footing in Singapore as brokers and agents marketed health insurance as part of the insurance package. Lower level employees, who were covered by health insurance schemes, were now able to enjoy better ward facilities in the government hospitals while the managers and executives could opt to stay in the private hospitals for treatment. In this period, AIA began to face competition from insurers such as Red Shield, China Underwriters, Travellers and Insurope, ICS (Life Division), Netherlands Insurance (Blue Cross Scheme), NTUC Income, Great Eastern Life, Overseas Assurance, Royal and Norwich Winterthur, all of which wanted a share of the local health insurance market.
The 1980s saw a period of significant growth and expansion for AIA. AIA rented space for its administrative and agency offices in Far East Finance Building, Parkway Parade (since 1984), Shing Kwan House (since 1987), Boon Siew Building (since 1989), Concorde and Seaview Hotels.
In the 1990s, AIA's headquarters resided in a temporary location at Gateway East as the new AIA Tower was being built. At the ground-breaking ceremony of the AIA Tower on 19 November 1991, a time capsule containing items such as a 1962 rate book and other AIA mementoes, was buried. Two years later, the 25-storey state-of-the-art AIA Tower was officially opened by AIG Chairman and CEO, Maurice Greenberg. The agency also established permanent offices in the 1990s with the opening of AIA Tanjong Pagar on 24 February 1992, and AIA Changi and Alexandra on 19 July 1994. During the late 1990s, the company gained recognition for achieving a string of "firsts" in the Singapore insurance industry. These include the first company to be selected by SPRING Singapore as the model on-the-job training company for the insurance industry (1997), the first to instantly approve group in-patient claims processes for corporate clients (1998), the first to bring paramedic services directly to the customer's doorstep (1998) and the first to receive the People Developer Award from SPRING Singapore (1999).
In the early 21st century, AIA laid claim to being the first Asia-based life insurance company to be given "AAA" - the highest rating by Standard and Poor, and the first life insurance company in Asia to receive the ISO 9002 Certification. Local accolades include admission to the Productivity and Standard Board's (PSB) Singapore Quality Class (1994) and the first insurer to receive PSB's People Developer Award (2001). It was also named eInsurer of the Year in recognition of AIA's contributions towards Singapore's e-development (2001).
Author
Kartini Saparudin
References
American International Asssurance. (2007). AIA in Singapore. Retrieved June 19, 2007, from http://www.aia.com.sg/content.asp?ca_typeid=2&ca_categoryid=7&ca_articleid=1
"Know your company" campaign [Microfilm: NL 9794]. (1978, August 23). New Nation, p. 1.
Koh, B. A. (1989, September 9). AIA Building to make way for $60m tower block. The Straits Times. Retrieved March 10, 2011, from NewspaperSG.
Tan, A. (1988, May 29). History of a growing business [Microfilm: NL 16192]. The Straits Times, Spotlight, p. 16.
Tan, P. & Koh, M. (2001, June). AIA celebrates 70 years in Singapore. AIA News.
(Call no.: RSING 368.0065 AIAC)
The information in this article is valid as at 2007 and correct as far as we are able to ascertain from our sources. It is not intended to be an exhaustive or complete history of the subject. Please contact the Library for further reading materials on the topic.
