The General Insurance Association of Thailand (TGIA) expects an unprecedented surge in the insurance industry, with premiums expected to soar to 303 billion baht in 2024.
TGIA President Director Somporn Suebthawilkul revealed the trajectory of the industry and revealed that premiums for the first nine months of the year have reached a staggering 210 billion baht, an increase of 5.2% over the same period last year. It is expected to grow strongly by 4% to 5% for the full year, with premiums reaching THB 285 billion.
But what's the secret behind this financial boom?Somporn predicts a dual force: the surge in electric vehicles (EVs) and the boom in the health insurance industry. With 100,000 electric vehicles expected to be sold this year, it's clear that the future is electric, and the same is true for the insurance industry.
Somporn said 2024 will be even more profitable, supported by the continued growth of the health and electric vehicle industries. Travel insurance will also benefit from the continued rebound in the travel industry, making your next adventure not only exciting, but well-insured.
"The sector's improvement this year is in line with expectations due to the economic recovery and smooth transition of the government, the increase in electric vehicle sales, and the rebound in domestic and international tourism.
"All of these factors have had a positive impact on the industry, with good growth trends across all types of insurance. ”
For car enthusiasts and road warriors, the news that car insurance premiums soared to 118 billion baht in the first nine months of the year, up 6% year-on-year, is refreshing. Car insurance policies are constantly increasing, and so is the average premium per policy.
Premiums for fire insurance rose by 2.1% to 7.76 billion baht and are forging their own path. Meanwhile, marine and shipping insurance fell slightly by 0.6% to 5.33 billion baht due to a slowdown in exports, according to the Bangkok Post.
Miscellaneous insurance premiums grew steadily by 4.6% to 78.6 billion baht, while property risk insurance increased by a significant 16.1% to 25.9 billion baht.
Somporn acknowledges the challenges posed by changing consumer behaviors and expectations. In this regard, TGIA has been proactive in its efforts to increase the confidence of the insured and the public. They are working with the relevant agencies to ensure better protection and crack down on unlicensed foreign insurance sales in Thailand.
Follow Mika Thai for more information about Thailand!