Thailand life market to maintain growth

March 15 2018 by InsuranceAsia News Staff

The life market in Thailand is seen to maintain its growth this year, according to Fitch Ratings.

The ratings agency cited likely sales growth from new bancassurance partnerships and a bigger pool of licensed agents who are eligible to sell investment-linked insurance as potential drivers of growth for 2018.

In 2017, the life market grew 5.9%. This year, the Thai Life Assurance Association expects the sector to expand by between 4% and 6%.

The association says premiums written will potentially be lowered by the implementation of a new mortality table from the insurance regulator.

Nevertheless, Fitch predicts that Thailand’s insurance sector will see robust performance in the sales of unit-linked and annuity products.

At the same time, ordinary products will remain the main growth driver, backed up by a modest insurance penetration rate that is providing opportunities for selling higher-margin products and new customer acquisitions.

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