Insurance industry targets 20 percent growth this year hinh anh 1The country’s insurance sector has targeted a growth rate of 20 per cent this year, according to the Vietnam Insurance Association. (Photo:
Hanoi (VNS/VNA) – Vietnam’s insurance sector has targeted a growth rate of 20 percent this year, according to the Vietnam Insurance Association.

Bui Gia Anh, the association’s general secretary, said the insurance market had maintained its strong growth so far this year.

The mechanisms and policies in the insurance industry were nearly complete while businesses had secured their financial security to become more competitive and effective, Anh said.

The total assets of insurance companies in the first seven months of the year were estimated at 423.4 trillion VND (18.2 billion USD), representing a 19 percent year-on-year increase.

During the period, insurance companies re-invested nearly 342.8 trillion VND into the economy, marking a rise of 26 percent from the same period last year.

The sector’s total revenue in the January-July period surged by 24 percent from the same period last year to 71.1 trillion VND. Insurance firms paid out 10.3 trillion VND to customers in the period, up 30 percent. The number of new insurance contracts reached 1.22 million, a 27 percent rise.

Previously, leaders of some insurance companies forecast that the sector's growth rate would be lower than in previous years. However, it has grown more quickly than expected so far this year.

The country now has 64 life insurance firms, 18 non-life insurance firms, two reinsurance businesses and 14 other insurance brokers.

According to Ngo Trung Dung, the association’s deputy general secretary, the country now has 779,600 insurance agents. Agent quality has been an area of focus for life insurance companies, and firms have introduced policy adjustment to develop strong agent channels.

The Vietnam Report Company earlier this month announced a list of the 10 most prestigious life insurance companies in Vietnam 2019. The list included Bao Viet, Prudential, AIA, Dai-ichi Life, Manulife, Chubb Life, Sun Life, Hanwa Life, Cathay Life and Mirae Asset.

The most prestigious non-life insurance companies named were Bao Viet, PVI, Petrolimex, PTI, Bao Minh, BIC, VietinBank, MIC, Liberty and Aviation Insurance.-VNS/VNA