Muang Thai Life sticks with premium-growth target of 15%
March 25, 2014 00:00 By Chamnan Noisamran
Muang Thai Life Assurance is maintaining its premium-growth target at 15 per cent this year, while keeping a watch on the situation on a monthly basis, as overall life-insurance growth is targeted at more than 10 per cent.
Sara Lamsam, president and chief executive officer of Muang Thai Life, said the company had set its growth target at 15 per cent earlier and if the situation changes, it was ready to adjust it.
For the first two months of this year, new-business premiums soared 41 per cent, while renewal premiums rose 28 per cent. Total earned premiums increased 33 per cent.
The life-insurance industry saw 14-per-cent growth in January.
“This year the industry is expected to grow more than 10 per cent due to people’s better response and a higher variety of products,” Sara said.
Agencies are its main channel for life insurance with more than 300,000 agents across the nation.
Sara said life-insurance companies had to adjust to deal with the approaching Asean Economic Community by establishing a strong capital base and expansion into neighbouring countries.
Muang Thai Life Assurance recently launched a health-insurance policy offering fixed premiums for 20 years with coverage for 15 kinds of critical illnesses. Premiums can be deducted from tax at no more than Bt100,000.
“We see Thais becoming more conscious of their health. There-fore, we have launched health insurance to respond to people’s demand. Now, all companies focus more on health insurance or linked life-insurance policies,” Sara said.
He said life-insurance premiums accounted for 70 per cent of the industry average. Muang Thai Life closely follows the industry average, with life-insurance premiums amounting to 72-75 per cent of the total.