Cambodia: Life to push overall market growth
Source: Asia Insurance Review | Aug 2017
Cambodia’s insurance industry saw a 24% surge in the first quarter of this year with gross premiums reaching US$36.2 million, driven by life business which shot up by 63.5% to $14 million, according to the Insurance Association of Cambodia (IAC).
General insurance premiums rose by a sedate 6.3% to $21.6 million, reported Phnom Penh Post.
Mr Ngeth Chou, senior consultant at Emerging Markets Consulting (EMC), said that one reason for the impressive growth is that banks are offering home loans and making it mandatory for homeowners to purchase fire insurance or life insurance.“Bankable clients are familiar with financial services, thus life insurers use that opportunity to reach their clientele via bancassurance models,” he said.
Mr Huy Vatharo, Chairman of the IAC, said the growth in both life and general insurance reflected increasing awareness among Cambodians of insurance, and healthy economic growth and investment. He said that fire insurance on new homes, enterprises, and factories account for a large share of general insurance business. A