Approximately 90.5% of businesses remain optimistic about the prospects of the whole insurance industry in the second half of the year, according to a survey conducted by the Vietnam Report Joint Stock Company (VNR), a pioneer in the field of rating reports on businesses, products, and services.

The insurance market is forecast to see growth of over 20%
in the second half of the year (Photo: VTV.vn)

VNR has officially announced a list of the year’s top 10 most prestigious insurers, with Bao Viet named as a leader in both the life insurance segments with Bao Viet Life, and non-life insurance with Bao Viet Insurance.

Some of Bao Viet Life’s rivals include a number of major names, such as Prudential Vietnam, Manulife Vietnam, Dai - Ichi Vietnam, and AIA Vietnam. With regard to non-life insurance, PVI, Postal Insurance, and Pjico all finished behind Bao Viet.

In their study VNR also offered deeper insights into the overall landscape of the insurance industry, including growth predictions and impending changes as the world adapts to the "new normal" context.

This comes after last year saw the insurance market maintain its high and stable growth momentum, contributing to the implementation of the common goal of building a healthy national finance industry, whilst ensuring financial security and macroeconomic stability.

With total insurance premium revenue estimated to be at up to VND160 billion, this marks an increase of 20.54%, of which VND52,387 billion came from non-life insurance enterprises whilst VND 107,793 billion came from life insurance firms. Indeed, insurance enterprises paid insurance benefits at an estimated VND 44,006 billion.

The opening months of the year saw the novel coronavirus (COVID-19) epidemic hit the world like a "black swan", turning all aspects of socioeconomic life upside down.

Like in many other economic sectors, the VNR survey judged the impact of the COVID-19 on insurance companies, with their findings indicating that the disease caused insurance business leaders to review and reassess their operating models based on customers, sales force, and support such as data investment and digital tools. This therefore allowed insurers to prepare to cope with unpredictable risks.

Following the impact of the COVID-19, more than half of insurers stated that decisions relating to risk management, human resource management, service management, customer support, customer access, and digital transformation are gradually changing in response to the outbreak of the disease.

Despite these changes, the nation’s insurance market is forecast to continue maintaining a growth rate of over 20% for the year. In the short term, the survey conducted by VNR in June indicates that 90.5% of businesses are optimistic about the prospects for the insurance industry in the remaining months of the year.