Office of Insurance Commission upbeat on sector in coming year

The Office of Insurance Commission (OIC) remains bullish on the insurance industry in 2020, saying health insurance, government-related insurance products and crop insurance will be boosters.

Although the economic slowdown dealt a blow to the business this year, prospects look brighter for next year, said secretary-general Suthiphon Taveechaiyagarn.

"Insurance companies are facing a challenge from implementation of IFRS 17, an international financial reporting standard to be adopted in the next two years, but fast-growing health insurance products and growing demand for insurance products from government-related parties are growth drivers for next year," Mr Suthiphon said.

Several government megaprojects are under construction and need insurance protection, while crop insurance has received a good response from farmers.

The OIC plans to expand coverage to other economic crops.

The commission also wants the government to provide personal accident insurance to 14.6 million state welfare smartcard holders.

"We will revamp many rules to be more flexible and conform to the current situation, such as investment rules, especially for foreign assets, which are expected to become clearer by the first quarter of next year," Mr Suthiphon said.

The office is preparing various measures, including technology investment and assistance for partnerships between insurers and local tech companies (the so-called insuretech segment), as well as for foreign investors who are eyeing stakes in Thailand's insurance sector.

The OIC is readying OIC Gateway, a platform enabling insurance companies to share information.

The first segment with information on OIC Gateway will be motor insurance products.