The Vietnam Insurance Association (IAV) said that by the end of July 2020, revenue from the non-life insurance market was estimated at VND 31,266 billion, an increase of about 6%, compensation of VND 10,754 billion, compensation ratio of about 34% (excluding claims reserve).
In 7 months, motor vehicle insurance revenue reached 9,753 billion VND, accounting for 31% of the total market revenue, compensation was 4,611 billion VND, the compensation rate was 47%. Compulsory insurance revenue for motor vehicle owners civil liability reached VND 2,688 billion, accounting for 8.6%, up 21%, compensation rate 16%. Voluntary motor vehicle insurance revenue reached VND 7,086 billion, decreased 1% over the same period, accounted for 22%, compensated VND 4,168 billion.
In the first 7 months of 2020, the revenue of health insurance is 9,339 billion dongs, accounting for 30%, up by 5%, and compensation is 2,894 billion dongs.
Fire and explosion insurance in the period recorded revenue of VND 3,627 billion, accounting for 11.6%, up 9%, and compensation of VND 1,006 billion.
Cargo insurance revenue reached 1,306 billion VND, accounting for 4%, down 11%, compensation 288 billion VND, compensation rate 22% (not including the claim reserve).
Ship hull insurance and shipowners' civil liability revenue reached 1,226 billion VND, accounting for 4%, up 6%, compensation 522 billion VND, compensation rate 43% (excluding claims reserve).
The Vietnam Insurance Association also showed that in the non-life insurance sector, other insurance activities include liability insurance of VND 624 billion (up 2%), aviation insurance of VND 361 billion (up 3%), and credit insurance and financial risk reached VND 487 billion ( up 55%)
Along with that, business loss insurance was 139 billion dongs, up by 10%, agricultural insurance reached 22 billion dongs, down 34% over the same period, guarantee insurance was 18 billion dongs.
In the life insurance sector, the association's estimated statistics show that by the end of July 2020, the total number of new exploitation contracts for life insurers is 1,623,203, up 12% compared with the same period last year. The number of valid contracts by the end of the period is 10,866,242, up 14.93%.
The total insurance premium revenue of the life sector as of the end of July 2020 reached VND 66,510 billion, an increase of 20% compared to the same period last year.
Along with the increase in the number of new mining contracts and insurance premium revenue, the life insurance's new mining premiums as of July increased by 14.92% to VND20,672 billion.
Source: Vietnam Finance - Translated by Vietnam Credit