Cambodia’s insurance sector grew by 5.6% in the first quarter of the fiscal year, equivalent to a total premium revenue of US$93.3 million. In the same period last year, the sector posted US$88.3 million.
The sector is composed of 18 general insurers, 14 life insurers, seven micro-insurance companies, and one reinsurer, according to data from the Insurance Regulator of Cambodia (IRC).
According to a report from Xinhua, the general insurance market’s gross premium during Q1 was US$42.7 million, representing a 6.5% YoY increase. Life business amounted to a total premium of US$48.7 million, an uptick of 3.5%.
The growth came despite a not-insignificant rise in the total amount of claims paid out as the sector recorded US$5.85 million during Q1. This represents a 20.6% increase from the US$4.85 million paid out last year.
Overall, the insurance market in the country had US$1 billion in total assets as of the first quarter, a 9.6% YoY increase. IRC director Bou Chanphirou said that the sector contributes to 1.1% of Cambodia’s gross domestic product (GDP) annually.
"This shows that the growth of [the] Cambodian insurance sector is still relatively low compared to that of countries in the region and the world. It indicates that Cambodia's insurance market still has more room to grow,” he said.
Earlier this year, the country’s insurance sector posted a growth of 10.6% in 2022, indicating that there is still indeed “more room to grow” for Cambodia’s burgeoning industry.
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