Local life insurance industry rakes in $1.3b in new business premiums in 1H

Single premium products surged to S$378.4m.

The Life Insurance Association (LIA) Singapore today released the industry results for the first half of the year, revealing that it achieved S$1,315.7 million in weighted new business premiums.

This is a 1% increase compared to the same period in 2013, which can be attributed to the robust 20% growth weighted single premium products, which surged to S$378.4 million in 1H.

Sales of annual premium products totaled S$937.3 million in weighted new business premiums, a decrease by five per cent over the same period in 2013.

The financial needs of approximately one in two individuals in Singapore are being addressed by the life insurance industry, ranging from long-term protection, savings, investment, wealth management and retirement funding needs.

The life insurance industry paid out a total of S$3.34 billion to policyholders and beneficiaries as at end June 2014. Of this, S$273 million was for death, critical illness or disability claims, and the remaining S$3.07 billion for policies that matured.

According to Dr. Khoo Kah Siang, President of LIA Singapore, “The life insurance industry continues to grow, contributing to our nation’s economic stability and progress. In addition, our financial strength, pro-active efforts and close collaboration with key stakeholders ensure that we are well-placed and ready to implement industry changes that will benefit all parties. It is our role and commitment as the industry association to continue spearheading efforts which elevate industry standards, ensuring the financial well-being and peace of mind of individuals and companies in Singapore.”