Cambodia insurance industry sees 10.6% uptick in 2022
The Insurance Regulator of Cambodia (IRC) announced major growth for the sector as the body recorded a total premium of US$331.8 million in 2022, a growth of 10.6% from the US$299.8 million recorded in 2021. The IRC noted that the growth was generated from 18 general insurers, 14 life insurers, seven micro-insurance companies, and one reinsurance firm.
The general insurance market reported a gross premium of US$132.3 million in 2022, an increase of 7% compared to 2021. Life insurance also saw an uptick, with premiums totalling US$193.8 million, up 12.6%. Micro-insurance premiums saw tremendous growth amounting to US$5.7 million, up 35% from the prior year.
“More room to grow”
The report also said that the total amount of claims paid out by Cambodian insurers was US$46.6 million last year, a 2.1% increase from the US$45.6 million recorded in 2021. The Cambodian insurance market currently has a total asset value of approximately US$977 million, a 14.8% increase year-on-year.
The country’s insurance industry has contributed about 1.1% to the gross domestic product (GDP) per year, IRC director general Bou Chanphirou said.
“This shows that the growth of [the] Cambodian insurance sector is still relatively low compared to the region and the world,” Chanphirou said. “It indicates that Cambodia’s insurance market still has more room to grow.”
A report from GlobalData indicates the market size for the Cambodian insurance market was US$270.3 million in gross written premiums in 2020, with a growth forecast of more than 6% from 2021 to 2025. Key players in the country’s insurance sector include Prudential, Manulife, and AIA Life Insurance.
AIA Cambodia appointed Andrew Loh as chief executive officer in 2021, with Loh reporting to Tan Hak Leh, regional chief executive and group chief life operations officer. He has been with the global insurer since 2017.
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