The Impact of Digital Transformation on Financial Management in Insurance Companies in Vietnam

This study investigates the impact of digital transformation on financial management in insurance companies in Vietnam, addressing a gap in previous research which has largely overlooked the intersection between digitalization and financial operations within the country’s insurance sector. The research aims to explore how digital technologies are reshaping financial decision-making processes, operational efficiency, risk management, and organizational culture in these firms. Employing a qualitative research approach, the study is based on in-depth interviews with 18 finance and IT professionals across 12 domestic and international insurance companies, supplemented by document analysis of internal reports, digital strategies, and audit records. The findings reveal that digital transformation has significantly enhanced the accuracy of financial reporting, the speed of decision-making, operational performance, and the ability to monitor and manage financial risks. However, challenges remain, including outdated legacy systems, employee resistance, and regulatory uncertainty - particularly among domestic insurers. The results are significant as they highlight that successful digital transformation requires more than just technological investment; it also demands strong leadership commitment, cultural adaptation, and cross-functional collaboration. The study provides practical recommendations for financial leaders and policy suggestions for regulators, emphasizing the need for sector-wide digital literacy training, clearer regulatory guidelines, and well-defined digital transformation roadmaps. These insights can help guide Vietnam’s insurance industry toward more sustainable and competitive financial practices in the digital era.