The slimming appetite for linked products, decreased population size, and market uncertainty, have dragged the premiums of Hong Kong’s top 50 insurers by 7.7% year-on-year (YoY) in 2022, the Insurance Asia Rankings revealed.
In total, the top companies saw their premiums reach HK$511.7b, smaller than the HK$554.2b in 2021.
“In 2022, the linked products business decreased by over 50%, in terms of premiums industry-wide. This reflects this lower demand because the financial markets didn’t do well. And so people don’t want to buy insurance-linked products Assistant Professor Ben Charoenwong, from the Department of Finance at NUS Business, told Insurance Asia.
Complex financial environment
The drop in overall premiums is linked to complexities in financial markets. Both stocks and bonds faced significant losses simultaneously, leading potential policyholders to adopt a cautious stance.
“Of course, the funny thing for me — someone who studies the financial markets — is typically after you have a bad year, it tends to be better afterwards. And so you might want to start products when the price falls rather than avoid them,” Charoenwong said.
Esta historia es de la edición Issue No. 22 de Insurance Asia.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor ? Conectar
Esta historia es de la edición Issue No. 22 de Insurance Asia.
Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.
Ya eres suscriptor? Conectar
Poor Tech Locks Insurers Into Outdated Systems
Only 56% of local insurance companies in Indonesia use IT, and 38% have not embraced digital marketing channels.
What Insurers Must Do To Withstand Market Shifts
Whilst the market drives towards growth, new rules shrink insurer presence.
EDUARD SARGSYAN
Intelligent decisioning: The essential element of a modern, customer-centric insurance business
One by MetLife app sets new standard in Nepal
With its user-friendly interface and comprehensive services, the app empowers users to take control of their health and financial futures.
Simplifying health and retirement planning
360Health and 360Future provide comprehensive, personalized support for physical, mental, and financial wellbeing, from preventative care to post-retirement life management.
Cocogen remains committed, compassionate, and genuine amidst insurance innovations
The company was recognised at Insurance Asia Awards 2024 for its commitment to innovation and customer service.
Cathay Life insurance strongly supports anti-drug, anti-fraud initiatives
Cathay Life Insurance secured the ESG Initiative of the Year - Taiwan win at the Insurance Asia Awards 2024 by creating an anti-drug and anti-fraud safety net for all age groups.
Etiqa Insurance launches Tiq CashSaver: A simple solution for short- to medium-term savings
Tiq CashSaver by Etiqa Insurance offers flexible, accessible endowment plans to build one's financial security and achieve short-term goals.
Great Eastern grooming financial representatives to become the industry's best
This dedication has helped the company produce top-tier financial representatives who are well-equipped to serve clients and excel in their careers.
Dai-ichi Life Insurance Myanmar has been recognised for Insurance Initiative of the Year 2024
With a robust expansion strategy, innovative financial solutions, and a commitment to community wellbeing, the company is strengthening Myanmar's insurance sector.
