The Thai Non-life Insurance Industry and Its Contribution to Economic and Social Stability Anon Vangvasu Chairman The Federation of Thai Insurance Organizations 1
Thailand Update 2016 2
Numbers of Insurance Companies in Thailand (As of September 1 st, 2017) Type of Business Local Company Foreign Branch Total Non-Life Insurance 50 5 55 Health Insurance 4 0 4 Reinsurer 1 0 1 Total 60 Members of Thai General Insurance Association (TGIA) Local Incorporated Direct Companies 54 Foreign Branches 5 Reinsurer 1 Total 60 3
2017 2018 TGIA Strategic Plan 4
Thailand Key Economic Indicators GDP and GDP Growth Rate (2002 2017F) Million Baht 16,000,000 GDP (Million Baht) GDP Growth Rate (%) Coup d etat Percent 80.0% 14,000,000 Slow Down of Private Expenditure & Increased Private Debts First Car Buyers Government Scheme 70.0% Thailand Mega Flood 12,000,000 Slow Down of World Economy and Airport Shutdown Hamburger Crisis (Subprime) 10,000,000 Avian Influenza & Oil Price Increase 60.0% 50.0% 40.0% 8,000,000 30.0% 6,000,000 20.0% 4,000,000 10.0% 2,000,000 0.0% - 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017f GDP (Million Baht) 5,769 6,317 6,954 7,614 8,400 9,076 9,706 9,658 10,80 11,30 12,35 12,92 13,20 13,67 14,36 15,18 GDP Growth Rate (%) 6.1% 7.2% 6.3% 4.2% 5.0% 5.4% 1.7% -0.7% 7.5% 0.8% 7.2% 2.7% 0.9% 2.9% 3.2% 3.8% Source : National Economic and Social Development Board of Thailand -10.0% 5
Thailand Key Economic Indicators SET Index (2000 2017) 1,800 SET Index Change 140% 1,600 116.6% 1,498 1,543 1,616 120% 1,400 1,200 63.2% 1,392 1,298 1,288 100% 80% 1,000 800 600 400 15.4% 14.7% 269 309 356 772 672 696 680 3.6% -2.4% -13.0% 887 30.5% 450 735 1,033 1,025 40.6% 35.8% 19.8% 15.4% 4.7% -0.7% -6.7% -14.0% 60% 40% 20% 0% -20% 200-44.1% -49.3% 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017-40% -60% Source : The Stock Exchange of Thailand (As of August 31 st, 2017) 6
Thailand Key Economic Indicators Total Vehicle Sales (2000 2017F) 1,600,000 Unit Sold %Growth 100% 1,400,000 80.9% 80% 1,200,000 60% 1,000,000 800,000 600,000 400,000 13.3% 37.8% 30.2% 17.4% 12.4% -3.0% -7.5% -2.7% -10.7% 45.8% -0.8% -7.4% -3.9% -9.3% 4.1% 40% 20% 0% 200,000 0 1,330,672 1,436,335 796,123 800,357 548,871 614,362 631,251 682,161 703,432 625,937 533,177 409,362 297,052 881,832-33.7% 800,000 768,788 799,594 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017(F) -20% -40% Source : Toyota Thailand 7
Thailand Key Economic Indicators Thailand Import and Export Growth Rate (1999 2017F) Export Import 40.0% 36.8% 30.0% 24.6% 25.3% 25.7% 28.1% 26.8% 25.1% 20.6% 18.6% 20.0% 16.8% 19.1% 17.4% 16.9% 15.0% 15.5% 15.1% 8.9% 10.0% 5.1% 4.6% 9.0% 8.7% 0.5% -0.8% 4.2% 2.9% -0.4% 0.5% 0.0% 1.6% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017F -0.3% -5.8% -4.2% -10.0% -6.4% -9.0% -14.3% -11.0% -20.0% -30.0% -25.4% Source : Ministry of Commerce 8
China Korea Malaysia Philippine Singapore Indonesia Australia Taiwan Hongkong India Thailand Japan Vietnam Thailand Key Economic Indicators Export Growth Rate (2016) Export in USD 3.2 9.1 0.5-2.2-1.7-1.6-1.3-6.4-5.9-5.7-5.2-4.8-3.9 Source : Fiscal Policy Office 9
Thailand Key Economic Indicators Total Visitor Arrivals to Thailand (2001 2017F) 40.00 Total (Million) % Change 25% 35.00 20.0% 20.6% 35.00 20.7% 18.8% 32.59 16.5% 30.00 29.92 16.2% 12.6% 26.55 24.81 25.00 22.35 8.9% 20.00 7.4% 19.23 4.6% 5.8% 14.58 15.94 13.82 15.00 14.46 14.15 10.80 11.65 11.52 0.9% 10.06 10.00 10.00-1.1% -3.0% 5.00-6.5% -7.4% 20% 15% 10% 7.4% 5% 0% -5% - 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017(F) -10% Source : Ministry of Tourism and Sports 10
Thailand Key Economic Indicators Inflation vs. Interest Rate (2001 2017F) Inflation Rate Interest Rate 5.50% 4.50% 4.70% 3.80% 3.80% 2.54% 1.98% 1.60% 2.70% 1.80% 1.33% 1.88% 3.00% 2.30% 1.50% 3.30% 3.25% 3.25% 1.50% 3.00% 3.00% 2.20% 1.90% 2.00% 1.50% 1.50% 1.50% 0.70% 1.00% 0.50% 1.10% 0.20% -0.90% -0.90% Source : National Economic and Social Development Board of Thailand 11
Thailand Key Economic Indicators GDP per Capita (2002 2017F) Baht 250,000 225,096 200,000 193,561 203,356 212,980 150,000 140,079 147,364 170,763 163,956 185,848 197,062 100,000 99,766 91,642 118,877 109,196 130,398 148,952 We are still in the middle-income trap country 50,000-2002 2004 2006 2008 2010 2012 2014 2016 Source : National Economic and Social Development Board of Thailand 12
Proportion of people over 60 years old in Thailand 30% 25% 20% 15% 10% Percentage 25.12% 23.51% 21.96% 20.43% 18.92% 24.31% 17.51% 22.73% 16.06% 21.22% 14.78% 19.67% 13.66% 18.20% 12.68% 16.76% 15.39% 14.23% 13.14% 5% 0% 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Total Population (1,000 Heads) 67,912 68,251 68,610 68,980 69,222 69,455 69,679 69,893 70,100 70,217 70,330 70,440 70,547 70,651 70,645 70,640 70,636 70,632 70,629 People over 60 years old (1,000 Heads) 8,609 8,970 9,374 9,819 10,234 10,691 11,188 11,716 12,272 12,782 13,309 13,853 14,415 14,994 15,515 16,055 16,610 17,174 17,744 Proportion of people over 12.68% 13.14% 13.66% 14.23% 14.78% 15.39% 16.06% 16.76% 17.51% 18.20% 18.92% 19.67% 20.43% 21.22% 21.96% 22.73% 23.51% 24.31% 25.12% 60 years old Source : National Statistical Office 13
Population Pyramid of Thailand (1980) Source : UN, Credit Suisse 14
Population Pyramid of Thailand (2015) Source : UN, Credit Suisse 15
Population Pyramid of Thailand In the next 50 years 16
Development of the Thai Economy 17
Growth in Insurance Premium (1969 2016) Million Baht 600,000 500,000 400,000 300,000 200,000 100,000 0 458 78 Life Insurance 115,518 94,367 58,780 62,546 75,646 55,727 56,339 61,18557,657 50,674 48,701 55,120 45,869 Non-Life Insurance Life Insurance Premium increased from THB 78 million in 1969 to THB 567.9 billion in 2016 7,282 times Non- Life Insurance Premium increased from THB 458 million in 1969 to THB 211.8 billion in 2016 462 times 390,517 328,897 296,164 258,533 201,942 221,598 173,708 151,314163,101 133,355 124,999 106,321 62,627 71,160 79,289 84,454 95,287 100,816 110,041 CAGR 12.9% (1997 2016) 441,372 179,480 140,219 536,839 499,495 205,368 203,078 567,974 CAGR 7.1% (1997 2016) 211,813 209,244 1969 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Direct Life Insurance Premium Growth Rate (%) Direct Non-Life Insurance Premium Growth Rate (%) 5.5-4.2 11.0 20.9 24.7 22.4 15.4 13.5 10.3 4.1 16.3 9.7 16.7 14.5 11.1 18.7 13.0 13.2 6.8 6.5-5.8-12.1-9.5 6.2 13.2 13.6 13.6 11.4 6.5 12.8 5.8 5.5 3.5 13.6 12.2 28.0 13.1 1.1 1.9 1.2 GDP Growth Rate (%) -2.8-7.6 4.6 4.5 3.4 6.1 7.2 6.3 4.2 5.0 5.4 1.7-0.7 7.5 0.8 7.2 2.7 0.8 2.9 3.2 CAGR = Compound Annual Growth Rate Source : Office of Insurance Commission 18 18
Insurance Penetration and Density (2002 2016) Insurance Penetration Insurance Density 2016 3.96 1.47 2015 3.90 1.53 2014 3.78 1.56 2013 3.42 1.57 2012 3.16 1.45 2011 2.91 1.24 2010 2.74 1.16 2009 2.68 1.14 2008 2.28 1.10 2007 2.23 1.11 2006 2.08 1.13 2005 2.20 1.17 2004 2.19 1.14 2003 2.12 1.13 2002 2.00 1.09 0.00 2.00 4.00 6.00 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 8,395 3,131 7,930 3,112 7,454 3,065 6,611 3,042 5,872 2,699 4,967 2,118 4,492 1,896 3,944 1,679 3,400 1,631 3,117 1,553 2,708 1,476 2,619 1,387 2,386 1,245 2,111 1,124 1,835 995 THB 0 2,000 4,000 6,000 8,000 10,000 Life Non-Life Life Non-Life Source : Office of Insurance Commission and National Economic and Social Development Board of Thailand 19
Non-Life Insurance Direct Premium Growth (2002 2016) 250,000 Million Baht 200,000 Fire Marine Motor Miscellaneous Total 179,480 203,078 205,368 209,244 211,813 150,000 100,000 50,000-140,219 124,999 118,441 117,927 120,305 122,188 106,321 110,041 100,648 103,915 95,091 88,833 83,250 71,160 79,289 74,582 52,590 56,756 61,261 64,215 65,430 60,612 67,519 71,076 73,114 74,124 62,627 47,119 41,602 34,702 38,252 44,289 16,800 19,449 21,078 24,710 27,292 28,457 30,408 33,191 8,453 6,982 7,351 7,744 7,174 7,104 7,501 7,787 7,839 8,063 9,759 11,815 11,061 10,480 10,233 2,671 3,127 3,740 3,790 3,869 3,826 4,196 3,634 4,325 4,617 5,193 5,302 5,304 5,344 5,268 (50,000) 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source : Office of Insurance Commission 20
Direct Premiums and Portfolio Mix (1987 vs. 2016) Health 0.51% 39 Fire 35.99% 2,705 Marine 7.80% 586 PA 12.66% IAR 11.25% Health 3.63% 26,806 7,68210,233 5,268 Fire 4.83% 16,680 Marine 2.49% Motor Compulsory 7.87% 1,386 23,832 Miscellaneous 18.45% 2,800 Motor 37.25% 13,540 Miscellaneous 6.39% 105,508 Motor Voluntary 48.81% Direct Premiums THB 7.5 Billion Direct Premiums THB 211.8 Billion Source : Office of Insurance Commission 21
Portfolio Mix by Classes of Business (2002 2016) 100% 90% 80% % of Direct Premium 9.81% 9.27% 8.65% 7.53% 7.04% 7.06% 7.04% 6.29% 5.59% 5.49% 5.82% 5.39% 5.01% 4.83% 13.50% 4.39% 4.72% 4.46% 4.06% 3.79% 3.95% 3.30% 3.46% 3.17% 2.89% 2.61% 2.58% 2.55% 2.49% 4.27% Fire Marine 70% 60% 50% 55.41% 58.46% 59.43% 57.31% 59.76% 60.89% 60.37% 59.47% 59.65% 59.80% 57.87% 58.32% 57.42% 57.50% 57.69% Motor 40% 30% 20% 10% 0% 0.00% 0.00% 3.46% 3.76% 1.64% 1.70% 21.73% 21.87% 5.34% 5.43% 4.54% 5.47% 5.42% 6.96% 8.33% 8.81% 11.91% 12.13% 12.63% 12.27% 11.25% 5.68% 4.30% 6.09% 7.19% 8.03% 1.82% 1.94% 9.42% 1.75% 10.22% 11.33% 11.43% 2.11% 11.43% 12.03% 12.02% 12.66% 2.71% 3.20% 3.36% 15.92% 16.63% 3.62% 15.38% 3.23% 3.03% 3.43% 3.61% 3.63% 13.51% 12.46% 10.60% 8.69% 7.67% 7.19% 6.66% 6.51% 7.03% 7.46% 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Office of Insurance Commission IAR PA Health Misc 22 22
Direct Premiums by Distribution Channel (2015 2016) Source : Office of Insurance Commission 23
Non-Life Insurance Distribution Channel (2016) *Broker Channel: Individual Broker, Corporate Broker, Finance & Car Dealer Business, Hypermarket, Convenience Store and Post Office. Unit : THB Million 24
Insurance and Reinsurance System 25
Number of Insurance Agents (1969 2016) Type Of Agents 1969 2011 2012 2013 2014 2015 2016 Life 3,597 269,022 279,556 272,817 275,548 275,209 274,703 Non-Life 1,975 26,977 26,097 24,515 21,357 20,797 20,216 Total 5,572 295,999 305,653 297,332 296,905 296,006 294,919 Source : Office of Insurance Commission 26
Number of Insurance Brokers (2011 2016) Type Of Brokers 2011 2012 2013 2014 2015 2016 Life * Individual 59,773 69,228 73,349 85,053 93,119 103,533 * Corporate 217 218 213 206 206 197 Non-Life * Individual 73,379 81,815 86,612 97,674 108,809 121,617 * Corporate 433 446 439 430 442 459 Life and Non-Life 30 32 44 51 57 69 Total 133,832 151,739 160,657 183,414 202,633 225,875 Source : Office of Insurance Commission 27
Non-Life Insurance Market Concentration (1997 2016) Top 10 Others 28 28
Non-Life Market Share by Company Sizes (2002 2016) Large size Companies Direct Premium more than THB 5,000 Million Medium size Companies Direct Premium between THB 1,000 5,000 Million Small size Companies Direct Premium less than THB 1,000 Million 29
The Size of Non-Life Insurance Companies in Thailand In 2016, top 5 and top 10 companies controlled 43% and 61% market share respectively Company 2016 Direct Premium Market Share (%) (1,000 THB) Overall Large size VIRIYAH INSURANCE 33,272,523 15.90 23.94 1 DHIPAYA INSURANCE 19,921,863 9.52 14.34 2 BANGKOK INSURANCE 15,479,391 7.40 11.14 3 MUANG THAI INSURANCE 12,204,391 5.83 8.78 4 SYNMUNKONG INSURANCE 9,024,736 4.31 6.49 5 SOUTHEAST INSURANCE 9,024,341 4.31 6.49 6 THE SAFETY INSURANCE 8,863,815 4.24 6.38 7 TOKIO MARINE INSURANCE 7,430,822 3.55 5.35 8 THANACHART INSURANCE 6,420,389 3.07 4.62 9 LMG INSURANCE 6,129,097 2.93 4.41 10 CHUBB SAMAGGI INSURANCE 5,973,329 2.85 4.30 11 MITSUI SUMITOMO INSURANCE 5,218,092 2.49 3.76 12 Total 138,962,788 66.41 100.00 Rank 30
The Size of Non-Life Insurance Companies in Thailand Medium size companies (23 companies) have 30% market share and the first 10 have 55% market share 2016 Company Direct Premium Market Share (%) (1,000 THB) Overall Medium size Rank DEVES INSURANCE 4,549,571 2.17 7.24 13 MSIG INSURANCE 3,954,999 1.89 6.29 14 ACE INA OVERSEAS 3,945,265 1.89 6.27 15 ROAD ACCIDENT VICTIMS PROTECTION 3,809,500 1.82 6.06 16 AXA INSURANCE 3,289,345 1.57 5.23 17 THAIVIVAT INSURANCE 3,229,229 1.54 5.14 18 SRI AYUDHYA GENERAL INSURANCE 3,049,893 1.46 4.85 19 KRUNGTHAI PANICH INSURANCE 2,994,313 1.43 4.76 20 NAVAKIJ INSURANCE 2,806,066 1.34 4.46 21 BUPA HEALTH INSURANCE 2,788,066 1.33 4.43 22 MITTARE INSURANCE 2,743,863 1.31 4.36 23 ASIA INSURANCE 1950 2,604,741 1.24 4.14 24 SOMPO JAPAN INSURANCE 2,586,716 1.24 4.11 25 CIGNA INSURANCE 2,464,136 1.18 3.92 26 NEW HAMPSHIRE INSURANCE 2,457,785 1.17 3.91 27 AIOI BANGKOK INSURANCE 2,406,454 1.15 3.83 28 ALLIANZ C.P GENERAL INSURANCE 2,386,172 1.14 3.79 29 NAM SENG INSURANCE 2,109,098 1.01 3.35 30 THAI INSURANCE 2,070,776 0.99 3.29 31 THAISRI INSURANCE 2,025,327 0.97 3.22 32 CHAO PHAYA INSURANCE 1,901,462 0.91 3.02 33 FALCON INSURANCE 1,598,594 0.76 2.54 34 SIAMCITY INSURANCE 1,108,726 0.53 1.76 35 Total 62,880,099 30.05 100.00 31
The Size of Non-Life Insurance Companies in Thailand Small size companies (25 companies) have 5% market share and the first 10 companies have 74% market share 2016 Company Direct Premium Market Share (%) (1,000 THB) Overall Small size Rank QBE INSURANCE 972,012 0.46 9.75 36 BANGKOK UNION INSURANCE 959,608 0.46 9.62 37 THAI SETAKIJ INSURANCE 927,829 0.44 9.31 38 ASSETS INSURANCE 909,380 0.43 9.12 39 K.S.K INSURANCE 770,312 0.37 7.73 40 UNION PROSPERS INSURANCE 733,611 0.35 7.36 42 GENERALI INSURANCE 659,208 0.32 6.61 43 AIG INSURANCE 637,307 0.30 6.39 44 INDARA INSURANCE 568,586 0.27 5.70 45 THAI PAIBOON INSURANCE 440,061 0.21 4.41 46 TUNE INSURANCE 393,889 0.19 3.95 47 THAI UNITED INSURANCE 386,691 0.18 3.88 41 THAI HEALTH INSURANCE 272,115 0.13 2.73 48 PACIFIC CROSS HEALTH INSURANCE 243,201 0.12 2.44 49 FPG INSURANCE 229,656 0.11 2.30 50 CHARAN INSURANCE 179,308 0.09 1.80 51 PHOENIX INSURANCE 163,318 0.08 1.64 52 ERAWAN INSURANCE 145,709 0.07 1.46 53 PHUTTHATHAM INSURANCE 122,639 0.06 1.23 54 SAJJA INSURANCE 67,763 0.03 0.68 55 NEW INDIA ASSURANCE 64,980 0.03 0.65 56 UNION INSURANCE 38,952 0.02 0.39 57 BANGKOK HEALTH INSURANCE 33,350 0.02 0.33 58 CHINA INSURANCE 32,558 0.02 0.33 59 A.I.A (NON-LIFE) 18,455 0.01 0.19 60 Total 9,970,496 4.77 100.00 32
Life Insurance Market Concentration (2008 2016) Large size companies Direct Premium more than THB 20,000 Million Medium size companies Direct Premium between THB 20,000 10,000 Million Small size companies Direct Premium less than THB 10,000 Million 33
Market Share of Top 10 Life Insurance Companies (2016) 21.32% 17.08% 14.18% 9.85% 9.28% 7.63% 5.41% 3.63% 3.37% 2.24% Top 5 71.71% Market Share Top 10 93.99% Market Share Total Market Players: 22 Life Insurance Companies 34 34
Total Direct Premiums in 2017 are expected to grow 35
The Future of Thai Insurance Market Human Capital Resources Shortage of talented staff Recruit Retain Reward Refine mindset and reskill technical expertise Talent movement across ASEAN insurance markets Regulatory Environment Insurers are required to comply with higher number of regulations Stringent rules in doing business More disclosure and transparency Financial, Economic, and Political Conditions Uncertainty in macroeconomic environment Global and regional financial impacts Local market aggressive competition Political uncertainty Terrorism Technological Advancements Digital Insurance Smart Phone Applications Big Data 36
The Future of Thai Insurance Market Harder to please customers Customer complaints Customer retention Customer interaction Extreme Environmental Conditions and Catastrophes Flood Tsunami Windstorm Earthquake De-Tariffication & De-Commission Imminent market liberalization in 2020 Diversity of distribution channels & higher demand for acquisition costs Demographic Changes Aging population and aged society Increasing urbanization Insurance Fraud Claims syndicates Collusion of staff Collusion of intermediaries AEC Impact on Insurance CLMV Markets 37
Key Indicators of ASEAN Countries (2016) Source : IMF 38 38
1212 Number of Insurance Companies in ASEAN (2014) Country Non-Life Life Composite Total BRUNEI 6 3-9 CAMBODIA 6 3-9 INDONESIA 79 51-130 LAOS 6 3-9 MALAYSIA 19 9-28 MYANMAR - 3 9 12 PHILIPPINES 67 27 4 98 SINGAPORE 57 16 5 78 THAILAND 59* 22* - 81* VIETNAM 30 17-47 TOTAL 331 156 18 507 * Figures as of September 2017 39
Life & Non-Life Direct Written Premiums in ASEAN (2015) Country Non Life Premiums Life Premiums Total Premiums % of Total World Premiums % of Total ASEAN Premiums Thailand 6,913 15,131 22,044 0.47% 25.46% Singapore 3,472 17,557 21,029 0.44% 24.29% Indonesia 4,740 15,299 20,039 0.42% 23.15% Malaysia 4,741 9,189 13,930 0.29% 16.09% Philippines 1,665 3,742 5,407 0.11% 6.25% Vietnam 1,568 2,053 3,621 0.08% 4.18% Brunei* 194 114 307 0.01% 0.36% Cambodia* 53 8 61 0.00% 0.07% Lao* 47 N/A 47 0.00% 0.05% Myanmar* 94 N/A 94 0.00% 0.11% * Data in 2014 23,487 63,092 86,579 1.83% 100.00% THB 829,033 2,227,030 3,056,063 Unit: USD Million Source: Swiss Re, Sigma No.3/2017 and ASEAN Insurance Council Note : Life and non-life business areas are categorized according to standard EU and OECD conventions: health insurance is allocated to non-life insurance, even if it is classified differently in the individual countries 40
Total Insurance Premiums and Population in ASEAN Countries Total Premiums (Life & Non Life) Population THB 3,056,063 Million 637.5 Million Source : Association of Southeast Asian Nations, ASEAN Statistics, Swiss Re, Sigma No.3/2017 Exchange Rate : Annualize rate 41
Non-Life Insurance Industry in Asia 2016 Continents Non-Life Premium Million $US Share (%) Gross Premium (Global Ranking) Premium Per GDP (%) Premium Per Capita (US$) GDP (Billion $US) Population (Million) PR China 203,515 9.6% 2 1.8% 147.2 11,234 1,382.9 Japan 117,243 5.5% 4 2.4% 928.3 4,954 126.3 South Korea 66,694 3.2% 7 4.7% 1,312.9 1,414 50.8 India 17,493 0.8% 15 0.8% 13.2 2,272 1,328.8 Taiwan 16,952 0.8% 16 3.3% 721.4 508 23.5 Saudi Arabia 9,656 0.5% 24 1.5% 300.8 640 32.1 United Arab Emirates 7,789 0.4% 31 2.2% 837.5 357 9.3 Iran 7,293 0.3% 32 1.8% 91.2 401 80.0 Israel 7,010 0.3% 33 2.2% 854.9 318 8.2 Thailand 6,913 0.3% 34 1.7% 101.4 407 68.2 Malaysia 4,741 0.2% 37 1.6% 153.9 292 30.8 Indonesia 4,740 0.2% 38 0.5% 18.2 933 260.9 Hong Kong 4,508 0.2% 41 1.4% 609.2 321 7.4 Singapore 3,472 0.2% 44 1.2% 620.0 297 5.6 Qatar 2,889 0.1% 46 2.0% 1,256.1 147 2.3 Philippines 1,665 0.1% 51 0.5% 16.3 304 102.4 Vietnam 1,568 0.1% 53 0.8% 16.6 205 94.4 Others 9,119 0.4% NA 0.5% 10.9 1,735 834 Asia 493,260 23.3% NA 1.8% 113.3 26,737 4,353.7 EU 611,414 28.9% NA 3.1% 744.8 19,768 820.9 America 937,373 44.3% NA 3.7% 940.4 25,166 996.8 World 2,115,172 100.0% NA 2.8% 285.3 75,335 7,414.2 Source: Swiss Re, Sigma No.3/2017 42
Global Insurance Market Share (2016) Thailand, 22,044, 0.47% Other, 1,114,24 7, 23.55% Total Premiums Top 10, Life insurance Premiums 1,995,280, 76.24% Other, 606,605, 23.18% Thailand, 15,131, 0.58% Top 10, 3,595,89 7, 75.99% Non-Life Insurance Premiums Thailand, 6,913, 0.33% Top 10, 1,663,775, 78.66% Other, 444,484, 21.01% Source : Swiss Re, Sigma No.3/2017 Note: Life and non-life business areas in this sigma study are categorized according to standard EU and OECD conventions: health insurance is allocated to non-life insurance, even if it is classified differently in the individual countries 43
Insurance Claims Payments from the 2011 Thai Floods Line of Business Number Claim Amount Amount (THB) Life and Personal Accident 213 27,243,320.40 Motor 39,927 4,107,612,177.81 Property Fire (Residential) 36,389 3,175,569,653.41 Fire (Commercial Building/SME) 3,885 10,812,062,886.60 Industrial All Risks 10,685 392,170,089,551.15 Total 91,099 410,292,577,589.37 44
The Thai Non-life Insurance Industry and Its Contribution to Economic and Social Stability Anon Vangvasu Chairman The Federation of Thai Insurance Organizations 45