Kiasi Singaporeans splurging on insurance

The life insurance industry recorded a robust 16 per cent growth over the previous year.

According to Life Insurance Association, the four consecutive quarters of positive gains enabled the life insurance industry to pull in a total of $1,651.3 million of weighted new business premiums for the year of 2010, up from $1,427 million.

The performance was boosted by strong annual premium sales, which reached $1,089.2 million in 2010, registering a remarkable 20 per cent growth recovery over the figures achieved for 2009.

Single premium business made a strong contribution of $562.1 million, representing a 9 per cent improvement over 2009. Of this amount, 18 per cent were CPF-funded sales.

“Business has revved up during the past year to a level similar to what it was prior to the financial crisis of September 2008,” said LIA President Mr Tan Hak Leh. “The industry has been resourceful in designing innovative solutions to meet the current and prospective needs of individuals, and I believe this has been instrumental in driving new business.”