The Life Insurance Association of Malaysia (LIAM) expects high single-digit growth for the industry this year, the association's president Anusha Thavarajah has said.
Growth in the life market is expected at about 8% to 9%, “about the same momentum that we saw last year”, said Ms Thavarajah.
LIAM has also expressed hope that the new government would continue to support insurers and takaful operators to reach out to more Malaysians in line with the aspiration to have 75% of the population insured by 2020, reports The Edge.
Currently, the penetration rate remains at around 56% with only about 32% of Malaysians owning more than one policy, said Ms Thavarajah.
She said LIAM, together with Bank Negara Malaysia, launched 10 affordable protection plans under Perlindungan Tenang in November last year, and hopes for more collaborative efforts in order to create public awareness of the need for insurance or takaful for family protection.
She said currently only about six companies are offering the 'Perlindungan Tenang’ plan, adding that she hoped more insurers and takaful operators would come on board to participate in the initiative which aims to reduce the protection gap in the country.
She added that if the Perlindungan plan takes off, the aspiration to insure 75% of the population could be achieved.