Insurance premiums up 15% to $10.6 bln in 2022

Insurance premiums in Vietnam increased 15.1% year-on-year to VND251,306 billion ($10.6 billion) in the year to December 12, the Insurance Association of Vietnam reports.

The revenue included VND68,201 billion ($2.88 billion) from non-life insurers and VND183,105 billion ($7.72 billion) from life insurers.

By December 12, the total assets of insurance firms grew 14.51% against the beginning of the year to VND811,312 billion ($34.21 billion), while equity reached VND162,814 billion ($6.87 billion), up 3.83%.

Insurance firms invested VND656,423 billion ($27.68 billion) in the economy in the year to December 12, up 12.56% year-on-year.

They paid insurance indemnification of VND64,018 billion ($2.7 billion), up 23.29%. Life insurers paid VND40,600 billion ($1.7 billion) and non-life insurers paid VND23,418 billion (nearly $1 billion).

Vietnam currently has 78 insurance firms - including 31 non-life insurers, two reinsurers, 19 life insurers, and 26 insurance brokers, according to the Ministry of Finance. The ministry expects the sector to grow 15% in 2023 in terms of assets, investment, and revenues.

The country plans to have 15% of the population covered by life insurance by 2025, 4 percentage points more than the current 11%, according to a draft plan recently sent by Finance Minister Ho Duc Phoc to the Prime Minister.

Under the draft plan, average insurance premiums may increase from VND1.92 million ($81) per head per year to VND3 million in 2025 and VND5 million ($211) in 2030.

Baoviet Life, Manulife, and Prudential were the top life insurers in Vietnam in terms of insurance premiums in the first nine months of the year, according to the Insurance Association of Vietnam.