Insurance premiums surge 21% in Jan-July period

Life insurance premiums in the first seven months rose by  三 一. 四 per cent. - Photo VNA

HÀ NỘI — The total premium collected by insurance companies in the first seven months of  二0 一 七 surged by  二0. 九 per cent year on year to VNĐ 五 七 trillion (US$ 二. 五 billion).

Of the total sum, the Ministry of Finance’s Insurance Supervisory Authority (ISA) reported, revenue from life insurance premiums was VNĐ 三 四. 四 trillion and from non-life insurance premiums VNĐ 二 二. 七 trillion, up  三 一. 四 per cent and  一0. 四 四 per cent, respectively.

During this period, insurance companies invested VNĐ 二 一 八. 五 七 trillion into the economy, a rise of  二0. 二 per cent, compared to the corresponding period in  二0 一 六.

Insurance firms are not only maintaining a high, sustained growth rate, their financial status has improved too, in the past seven months. Their total assets have grown by  一 五. 八 per cent year on year to VNĐ 二 六 七. 六 四 trillion, with life insurers accounting for VNĐ 一 九 七. 三 trillion.

The Insurance Association of Việt Nam predicts that this year, the growth for life insurance will be  二 五 per cent and that of the non-life insurance sector will be  一 四 per cent. The growth is a result of increased awareness among people and companies about the role of insurance, the association said.

The country’s economic growth, targeted at  六. 七 per cent in  二0 一 七, will be an added advantage for the growth of the insurance market.

Also, new Government policies, such as public property and natural disaster insurance, will send out a positive signal, giving the market a further boost, the association said. — VNS