Laws and regulations will be gradually loosened, including restrictions on investment in public construction by the insurance industry, said Mr Huang Tien-Mu, chairman of the Financial Supervisory Commission (FSC).
The non-life insurance market in Taiwan has been expanding over the last few years at mid to high single-digit rates, notes AM Best.
Taiwan's insurance industry may over the next few years face a period in which "challenges and opportunities coexist, while difficulties and expectations clash", according to the 2020 Taiwan Insurance Report released yesterday by KPMG in Taiwan.
The impact of COVID-19 has not been particularly significant on the Taiwanese non-life insurance segment according to a report from AM Best.
Taiwan's Taishin Financial Holdings Co. Ltd. announced yesterday that it will purchase Prudential Life Insurance Company of Taiwan for NT$5.5bn ($187m) from New Jersey-headquartered Prudential Financial.
Taiwan's life insurance sector posted an 8.4% fall in premium income, to NT$1,536.2bn ($52.2bn) in the first half of 2020, according to statistics from the Life Insurance Association (LIA-ROC).
Taiwan's life insurers are expected to continue their shift away from savings products and Taiwan dollar policies as they prepare for IFRS17 and the start of a new solvency regime, says Fitch Ratings.
The Financial Supervisory Commission (FSC) has proposed to prepare for an enhanced solvency regime for insurers in three phases over the next five years.
Central Reinsurance Corporation (Central Re) has demonstrated a track record of favourable underwriting results in its domestic life and non-life reinsurance businesses over the past five years, notes AM Best.
People are saving or planning financially for retirement earlier compared to five years ago due to increased crisis awareness, according to a survey commissioned by Taiwan Life Insurance.