Vietnam life insurance payouts surge 35 per cent to $1.24 billion in H1

July 30, 2024 | 16:47

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Life insurers in Vietnam disbursed $1.238 billion in claims in the first half of 2024, marking a 35 per cent increase on-year.

Vietnam life insurance payouts surge 35 per cent to $1.24 billion in H1

According to data released by the Insurance Association on July 29, Vietnam currently has over 11.7 million active life insurance policies, a decrease of nearly 6 per cent from the beginning of the year, covering approximately 10 per cent of the population.

In the first half of the year, 19 life insurance companies paid out $1.238 billion in benefits/claims to policyholders, marking a 35 per cent rise compared to the same period last year. Leading companies such as Manulife disbursed $152 million, and Dai-chi Life $88 million.

According to Prudential's statistics from last year, 60 per cent of claims for critical illnesses were for individuals aged 25-50. Additionally, approximately 76 per cent of claims occurred within the first 10 years of the life insurance policy. Market-wise, sales continue to decline following last year's crisis. Life insurance premiums in the first half of the year decreased nearly 10 per cent compared to the same period last year, according to the Ministry of Finance.

As of the end of June, the total assets of the life insurance sector were estimated at $32.782 billion, up 9.6 per cent from the same period in 2023. The total investment amount was estimated at $28.851 billion, an increase of 10 per cent compared to the same period last year.