Vietnamese insurance relies on ASEAN
From 2011 to 2015, Vietnamese insurance business witnessed a development period that is up to the expectations. Today, the turnover of the insurance industry accounts for 2% of GDP, 3.79 billion USD.
Major growth is expected by 2020 thanks to the commercial agreements brokered with ASEAN States and resulting tax provisions. Insurers of this economic zone will have the possibility to extend their business to the countries that are members of the common market. Furthermore, the good health of air, marine and land transport within ASEAN is a boost for the growth of insurance and the appearance of new products.
The competition that will set in is, nonetheless, going to complicate the task of Vietnamese insurers who remain more vulnerable than their powerful foreign competitors. Vietnam is only seventh on the ASEAN market in terms of insurance.
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