Philippines insurance sector logs 34% premium growthMay 25 2018 by InsuranceAsia News Staff
According to preliminary statistics based on quarterly reports submitted by life, non-life companies and mutual benefit associations in the Philippines, the industry’s total premiums collected in the January-March period increased 34.4% to P76.64 billion (US$1.46 billion), up from P54.04 billion in the same period last year.
Insurance commissioner Dennis Funa said he hopes to sustain this momentum, especially considering that total premiums are likely to decline with the decline in the number of industry players.
The drop in players is a result of the mandated increase by the government in paid-up capital held by insurance companies operating in the Philippines.
Under the country’s laws, insurers now need to maintain a minimum net worth of P550 million (US$105 million) to be able to continue operating.
Four insurers have already announced they are ceasing operations due to this requirement.
- January 23
The country's regulator is to delay accounting standard implementation by another 12 months.
- January 21
Minimum capital requirements of P900m are necessary by the end of the year.
- December 13
The market's premiums grew 18% during the first nine months of the year.
- November 29
The two-year project aims to develop a catastrophe model for flood risk in the country.