The Thai insurance industry is estimated to have generated an annual total insurance premium of THB862.1bn ($27bn) last year, growing by 5.3% over 2017, according to the Office of Insurance Commission (OIC).
The life sector is estimated to have contributed THB632.6bn of the insurance premiums in 2018, with growth of 5.4% over 2017. This represented 73% of the total industry premium. The non-life insurance sector chalked up premiums of THB229.5bn last year, growing by 5.1% over 2017.
For 2019, the total insurance industry is forecast to grow by 4.9-5.9% to reach premiums of at least THB904.6bn, said the OIC. Life insurance premiums are predicted to hit over THB664.4bn this year or see a growth rate of 5-6% while the non-life segment is forecast to grow by 4.7-5.7% to chalk up premiums of at least THB240.2bn.
The Secretary General of the OIC, Dr Suthiphon Thaveechaiyagarn, told the local media that the Thai economy would continue to expand this year. Public sector investments would grow and private sector investments would increase.
Announcing the direction in which supervision of the insurance industry would head this year, he said that the OIC would focus on the following tasks:
- Develop strong and stable insurance business.
- Promote and support the insurance industry to play its role in strengthening and stablising the economic system of the country, and
- Protect the rights of of the insured yet ensuring supervision is balanced and not onerous for insurance operators.
These goals will be achieved through give five strategies, namely:
- Promote the development of new insurance products. Implement a more efficient way of approving new insurance policies. Cancel outdated regulations or those which obstruct insurance business development
- Develop standards for the operation and work systems of the OIC.
- Create and expand network of industry partners and promote the insurance industry.
- Develop a system of monitoring stability
- Develop the potential of technology so as to increase efficiency in the insurance system of the country.