Singapore: Life market surges by 20% in 1H2018
Source: Asia Insurance Review | Sep 2018
Singapore’s life insurance industry posted a 20% y-o-y increase in new business premiums for the first half of this year to reach a total of S$2.02bn ($1.47bn).
This follows a record year in 2017, which was the first time the industry crossed the S$4bn dollar mark in total weighted new business premiums.
Life Insurance Association (LIA) Singapore president Patrick Teow said, “This year’s midpoint is already much higher than last year’s midpoint, so if momentum continues, we will cross $4bn for sure.”
Compared to a year ago, the year-to-date total sum assured, which includes individual life and health insurance rose 19% to S$66.3bn in June 2018 from S$55.9bn in June 2017, pointing to an increase in protection.
The LIA said that there has been a slight shift in customers’ interest away from participating products, to both non-participating products and investment-linked products, attributed to insurers’ new product launches as well as improving economic conditions.
Even with the robust performance in 1H, Mr Teow sees challenges ahead. “We are still optimistically cautious that this momentum will continue to run through, but we are not isolated from what is happening in the market right now, with the trade war and how it will pan out.” A