KUALA LUMPUR: The general insurance and takaful sector is expected to experience premium growth of between 9% and 11% this year, according to ISM Insurance Services Malaysia Bhd.
This was in line with the global economic recovery and the increase in domestic vehicle sales, its chief executive officer Carl Rajendram told reporters after presenting the general insurance and takaful market performance report for 2009 here yesterday.
“The general insurance, particularly motor insurance, will grow in line with the increase in car sales in the first quarter of this year and a better sales forecast for the whole year,” he said.
The Malaysian Automotive Association (MAA) has projected its motor vehicle sales forecast at 550,000 units this year, up from 536,905 units last year.
Rajendram said other related insurance products like marine, aviation and transit were also expected to see growth this year amid a pick-up in economic activities, including exports and imports.
In 2009, gross general insurance premiums grew by 5.8% from 8.4% in the previous year, while net premium growth was at 4.9% from 10.2% in 2008.
Gross general takaful contributions grew 20.2% from 22.5% in 2008 and net contributions grew by 21.2% from 26.2% over the same period.
The combined general insurance and takaful gross premiums grew by 6.9% from 9.3% in the previous year and net premiums by 6.1% from 11.2% in 2008, Rajendram said.
Total assets of the sector declined by 0.6% to RM21.9bil in 2009, he said.
Total general insurance and takaful premiums in 2009 amounted to RM13.04bil from RM12.2bil in the previous year while net premiums stood at RM9.19bil against RM8.66bil in 2008. — Bernama
----------------------------------------------------
