ASEAN KEY DESTINATIONS
Vietnam’s non-life insurance premiums soar in H1
Vietnam’s non-life insurance premiums jumped 41 percent in the first half from the corresponding period last year, reported the Vietnam News Agency (VNA) on Sunday.
VNA quoted Vietnam’s Ministry of Finance as saying that with the growth rate the industry gained total premiums of nearly 5.5 trillion dong ($333 million).
Of the total, the ministry said, Bao Viet Insurance made up 1.68 trillion dong ($101 million), up 50 percent over the same period last year. PVI followed with 1.1 trillion dong, up 6.5 percent while Bao Minh and Pjico also contributed more than 1 trillion dong and 520 billion dong, an increase of 23.6 and 44 percent respectively.
Vietnamese insurers have continued to dominate the domestic market over their foreign counterparts. Bao Viet currently accounts for 35 percent of the country’s total market share, and figures for Bao Minh, PVI and Pjico are 21, 18 and 10.5 percent, respectively.
With such growth, PVI has achieved profits of more than 100.8 billion dong in the first six months of the year, while Bao Viet and Bao Minh reported profits of 60 billion dong and 72.7 billion dong respectively.
Vietnam’s life and non-life insurance segments are expected to continue their high annual rates of growth. The Vietnam Insurance Association expected this year’s non-life insurance to achieve a growth rate of 30 percent.
Last year, the non-life insurance sector recorded the highest growth rate in the past five years, with total revenues of nearly 8.5 trillion dong ($531.25 million) reported the association.
Vietnam currently has 23 insurers, including nine life insurance, one reinsurance, and eight brokerage companies. These firms have invested more than 40 trillion dong ($2.5 billion) in the local economy.