Vietnam: Robust double-digit growth forecast for insurers
Source: Asia Insurance Review | Feb 2016
Growth in the life insurance sector is expected at more than 25% this year while that in the non-life sector would exceed 18%, according to Mr Phan Kim Bang, Chairman of the Insurance Association of Viet Nam.
He said that the growth would be on the back of a stronger Vietnamese economy this year, which is expected to be boosted by the ASEAN Economic Community and the Trans-Pacific Strategic Economic Partnership agreement, reported the Vietnam News Agency.
The life insurance sector reported growth of 29.5% in premiums, which topped VND36.6 trillion (US$1.63 billion), last year. This is the highest growth rate in life insurance during the last 10 years, he said. Non-life insurance premiums reached VND31.3 trillion last year, an increase of 14%.
Mr Bang said that the financial capacity of insurance companies has been increasing steadily. Total assets of the market players increased by 21.7% to over VND201 trillion last year over 2014. The non-life sector accounted for VND70 trillion of this total while the life sector accounted for VND131 trillion.