Vietnam Daily News

Vietnam's life insurance premiums estimated at 21.5tr dong this year

Written by Dailynews.vn Friday, 16 December 2011 17:45

Vietnam's life insurance sector this year is estimated to have reached total premiums of 21.5 trillion dong, a slower pace compared with 2010 due to the credit tightening and public debts.

The performance was reported by Vietnam Insurance Association with top ten events in 2011.

1. The non-life insurance premiums continued growing by 25 percent to have obtained 21.5 trillion dong within this year.

2. Meanwhile, the life insurance is expected to surge 17 percent to the revenues of 16 trillion dong. This form aims at protecting risks for insurance participants and attracting idle capital of residents into mid and long term investment.

3. The whole insurance sector invested 100 trillion dong in the national economy, representing the second role of the sector as a financial tool to raise the state capital for the society.

4. The State management over insurance business has been improved through the promulgation of the decree guiding Amended Law on Insurance Business; guidance circulars of Decree 45, 46, guidance circular on implementing associated insurance, and other regulations.

5. Ministry of Agriculture and Rural Development issued Circular 47, Ministry of Finance released Circular 121 to guide the implementation of Decision 315/CP on agriculture insurance.

6. The government and Ministry of Finance have issued some insurance policies aiming at creating conditions for insurers to launch products in new fields such as Circular 220/BTC on statutory fire insurance, Circular 99/BTC on export credit insurance, Decree 102 on liability insurance of medical facilities. Also a regulation on responsibility insurance for those who use and manage nuclear radiation will be promulgated.

7. Dissemination programmes for insurance service are more professional. Vietnam Insurance Association coordinated with Vietnam Financial Times to disseminate insurance section on the papers' weekly Friday edition, and cooperated with departments of road and railway police to conduct Traffic Safety News on VOV station. In addition, the association broadcasted the compulsory insurance for machinery vehicles among the youngsters at universities in Hanoi, Hai Phong, Nghe An, Hue, Dak Lak and Da Nang in September 2011.

8. Insurance fund for mechanical vehicles under Vietnam Insurance Association summed up three years of implementing Decree 103, Circular 126, and Joint Circular 35 on compulsory insurance for mechanical vehicle owners.

9. The fund also launched the plan of insurance database for machinery vehicles through feasible studies, general estimation. Then selection of contractors and signing contracts will be done in late December 2011. The database will be in use.

10. Insurance providers focused on providing customer care service, receiving information, examining damages and guiding some compensation procedures.

Source: www.intellasia.net/news/articles/finance/111350961.shtml