Pakistan: Life market enjoys high growth mode
Source: Asia Insurance Review | Mar 2017
Pakistan’s life insurance sector has been in a high-growth mode for the last few years, with its performance in 2016 estimated to have been consistent with this trend, according to EFU Life Assurance Managing Director and Chief Executive, Mr Taher Sachak.
“In 2015, the life insurance total gross premium crossed the PKR150-billion (US$1.43 billion) mark, with an average five-year annualised growth of approximately 25%. The growth trends in 2016 have been consistent with the past year,” he said.
A key driver of this growth momentum has been bancassurance, reported Express Tribune, citing Mr Sachak.
“The primary focus of all the players operating in the market is to increase the penetration in the existing markets. Therefore, a lot of emphasis is not only on the strengthening of the traditional distribution networks but also the development of alternate channels,” he said.
“I believe that apart from the arrival of takaful, the growing middle class, soaring bancassurance and the introduction of small-ticket insurance schemes will all aid the growth of life insurers in the coming years,” he said.