Vietnam’s insurance industry aims to maintain a high growth rate of 18.42% in 2020, according to the country’s Insurance Supervisory Authority (ISA).
For this year, the industry has set a target revenue of VND188.73 trillion (US$8.1 billion), according to a report by Viet Nam News.
Furthermore, insurers are also targeting an increase in their total assets by 13.3% year-on-year to VND514.80 trillion, while reinvesting into the economy VND433.06 trillion, or 15.1% higher than 2019.
To meet these targets, deputy director of ISA Phạm Thu Phương said the regulator will continue to refine its mechanisms and policies, which includes increased focus on restructuring to achieve the transparent, safe, and efficient development of the insurance market, and complying with international standards.
“In particular, ISA will focus all resources to complete the revised law on insurance business, as well as regulations to guide the implementation of the law to make it accordance with the country’s socio-economic development directions as well as international rules,” Phương said.
According to the report, Vietnam has among the world’s lowest life insurance penetration levels at less than 1% of GDP. The average insurance premium in Vietnam is at US$30, which is below the global average of US$595 and Southeast Asian average of US$74.
The ISA oversees a total of 66 insurance companies, which market over 850 non-life insurance products and 450 life insurance products.
