Insurance market keeps thriving in first months of 2019
Vietnam’s insurance industry maintained positive growth in the first four months of 2019, with total premiums surging by 17% year-on-year to VND 44.3 trillion (USD 1.9 billion), the Ministry of Finance reported.
Besides maintaining a high growth rate, the financial status of insurance firms also improved in the period with total assets rising by VND 21.4% to 401.9 trillion (USD 17.17 billion).
During the period, insurance companies re-invested VND 328.7 trillion (USD 14.04 billion) into the economy, marking a rise of 26.5% year-on-year.
Insurers also paid out VND 12.5 trillion (USD 534 million) to customers, surging 31.2% compared with the same period last year.
According to the Ministry of Finance’s Insurance Supervisory Authority (ISA), the insurance industry is targeting a growth rate of 20% this year.
Experts remain upbeat about the industry’s health in the coming years, forecasting that it will maintain an annual growth rate of 10-20%.
Many banks that cooperate with insurers to provide bancassurance products even expect an annual growth rate of up to 30-40%.
The ISA reported that the country has 64 insurance companies, including 30 non-life insurers, 18 life insurers, two reinsurance companies and 14 insurance brokerage companies.
There are up to 850 non-life insurance products and 450 life insurance products sold on the Vietnamese market.