Expansion of insurance premiums

According to AM Best, the Vietnamese insurance market is poised to continue its growth in 2012. The expected growth is estimated at 24% according to the rating agency which warns against inflation that may reach 12.1% in 2012. The Vietnamese insurers’ association is also optimistic. According to its estimates, non-life insurance will maintain sustained growth at 28%, reaching 1.3 billion USD in 2012, while the expected increase for life insurance will amount to 18% at 900 million USD. The finance minister has stated that insurers will, nonetheless, have to adjust to the competitive context by creating new products and improving their distribution networks.