Sunday, January 31, 2010

Insurance outlook

A very interesting articles from the Star. The report that all Insurers are in for better times.Life insurance business weighted premium for this year is projected to grow 12.5% to RM3.6 billion. This is attribute to improving economic conditions and the Government's various pump-priming measures. Life Insurance Association of Malaysia (LIAM) expects a good outlook for the life insurance industry based on last year strong performance compared with 2008 when there was almost no growth due to the financial meltdowns.
The gross domestic product growth (GDP)is forecast at 2% to 3%in 2010. The service sector is also anticipated to expand by 3.6% in 2010. This augurs well for the insurance industry. Usually this industry growth 3 to 4 times of the GDP.
Malaysia's penetration rate of insurance at 41% which was low compared with develop economy. Taiwan and Japan the pentration rate of insurance at 180% and 300% respectively. There are plenty of scope for the industry to grow futher.

MAA Assurance investment plans are doing very well last year. Last year Growth fund, a equity based fund growth by 47% out performed our Bursa Malaysia index. Most of my clients and policyholders are very happy with my services. My strategy this year is to do more investment link plan. This year theme is "Back To Basics". Recruit, Rebuild and Re-Energise.