The insurance market continued to maintain stable growth rate in the first 10 months of the year, according to the Ministry of Finance (MoF).

The ministry said total insurance payment in the period reached more than VND23.9 trillion (US$1.05 billion), of which total insurance payment from non-life insurance companies was estimated at VND12.06 trillion.

Insurance companies have ensured payment to buyers, it added.

MoF’s report also revealed that the total premium collected by insurance firms in the market in the January-October period surged by 20 per cent to VND84.2 trillion.

During this period, insurance companies invested VND236.1 trillion in the economy, a rise of 21.8 per cent compared with the corresponding period in 2016.

Of the total sum, revenue from life insurance premiums was VND199.8 trillion and from non-life insurance premiums was VND36.3 trillion, increasing 32 per cent and 9 per cent respectively from the same period last year.

The ministry said management and supervision in the market have been strengthened to improve transparency of insurance companies’ operations.

In the near future, the ministry will continue to complete policies and mechanisms for the insurance industry. In addition, it will complete a draft decree on compulsory insurance for fire and explosion to replace Decree No 130/2006/ND-CP and a draft decree on penalties on violations of insurance operation.

The MoF will also encourage insurance companies to diversify insurance products.

The life insurance targeted a total premium revenue of VND62.3 trillion this year, increasing 23.4 per cent while the non-life insurance targeted VND40 trillion total premium or 9.4 per cent increase from last year. — VNS