Logo of Phnom Penh Post newspaper Phnom Penh Post - Etiqa set to insure Cambodians

Etiqa set to insure Cambodians

Content image - Phnom Penh Post
‘Annual losses in some economic sectors are projected to reach hundreds of billions of dollars by the end of the century‘. THE STAR (MALAYSIA)

Etiqa set to insure Cambodians

The insurance arm of Maybank’s Etiqa Group expects to expand its operations in Cambodia next year as the firm’s executives discuss preparations with Cambodian insurance regulators and await approval.

Etiqa CEO Kamaludin Ahmad was quoted by Malaysian business news outlet, the Malaysian Reserve, as saying Etiqa is looking forward to entering Cambodia as discussions with regulators have been very encouraging.

“We intend to offer both general and life insurance, and want to stay for the long term,” Kamaludin said.

He said Etiqa will need to operate with two companies to provide both types of coverage as required by the regulators.

“[It is] unlike in Singapore and the Philippines, [which] allow for a composite licence where one company can do both. But in Cambodia, [companies] need one for life and the other for general,” Kamaludin said.

Besides Malaysia, Etiqa has operations in Singapore, Indonesia and the Philippines.

The Cambodian insurance industry is under the supervision of the Ministry of Economy and Finance under the General Department of Financial Industry. Ministry officials could not be reached for comment on Sunday.

Etiqa’s plans for the Cambodian market will generate stronger competition in the nascent but potentially lucrative market.

Insurance Association of Cambodia (IAC) chairman Huy Vatharo said on Sunday that he received unofficial information about Etiqa’s plans for investment in Cambodia.

Vatharo said the news that more operators want to enter Cambodia’s insurance market is proof that the industry is attractive and has growth potential.

“More players in the market will be good for consumers. It will create good products and services in the insurance industry for the benefit of Cambodians,” Vatharo said.

A recent IAC annual report said the association consists of 11 general insurance firms, seven life insurance firms, and one reinsurance firm.

Life insurance is a relatively new product in Cambodia, first entering the market in 2012. But the industry has grown impressively in terms of gross premiums and the number of operators.

The IAC’s latest data shows that total gross premiums in the insurance industry (general and life) had reached $46.8 million during the first quarter this year – a 30 per cent increase from $36.2 million in the same period last year.

General insurance collected $24.6 million in gross premiums while life insurance received $22.1 million in gross premiums in the first quarter of this year.

MOST VIEWED

  • ADB says Kingdom to lose 390,000 jobs

    The Asian Development Bank (ADB) predicts Cambodia will suffer 390,000 job losses this year due to the Covid-19 pandemic. But it congratulated the government for its response to the crisis and its cash transfer programme for the poor and vulnerable. Last Wednesday, the ADB approved a $250

  • Fish with human-like teeth makes splash

    An image of a fish of the family Balistidae with human-like features made its rounds on social media after a Twitter user snapped a photo of his catch in Malaysia. The original post has received 675 comments, 8,200 retweets and more than 14,000 likes as of Tuesday. Astonishing

  • Gov’t not using EU aid for poor

    Prime Minister Hun Sen on Tuesday refuted as “baseless”, claims that the government had used financial aid from the EU to implement the programme to identify and support poor and vulnerable people during the Covid-19 pandemic. The prime minister was responding to Roth Sothy, a

  • Royal Group inks $35 million road deal on Koh Rong

    Royal Group Koh Rong Development Company and Sinohydro Corporation Limited reached a $35 million deal on Tuesday to build a 70km road on Koh Rong Island. The road will be 8m wide and is expected to take 16 months to complete, according to the plan approved by

  • Thai fence said to prevent illegal crossing

    Battambang and Banteay Meanchey provincial police say Thailand is not invading Cambodia after a series of social media posts about fences being built on the border raised alarms. Banteay Meanchey police chief Ath Khem said on Tuesday the information on social media on Sunday and

  • Nine more students from Saudi Covid-19 positive

    Prime Minister Hun Sen said preventing the spread of Covid-19 depends on each citizen. He expressed concern that the pandemic will continue for longer. Hun Sen said this after nine Cambodian students who recently returned to the Kingdom from Saudi Arabia were found to be

  • PM to vet NY holiday dates

    The Ministry of Economy and Finance submitted a letter to Prime Minister Hun Sen asking him to formally set a five-day national holiday from August 17-21 to make up for the Khmer New Year holiday in April that was postponed. Finance minister Aun Pornmoniroth sent

  • Cambodia rejects UN rights claim

    Cambodia's Permanent Mission to the UN Office in Geneva on Friday hit back at David Kaye, the UN special rapporteur on the Promotion and Protection of the Right to Freedom of Opinion and Expression after he raised concerns over the repression of free speech and

  • Snaring may spawn diseases

    The World Wildlife Fund (WWF) has warned that snaring of animals has become a crisis that poses a serious risk to wildlife in Southeast Asia and could spawn the transmission of zoonotic diseases to humans. Its July 9 report entitled Silence of the Snares: Southeast Asia’

  • Ex-party leader, gov’t critic named as secretary of state

    A former political party leader known for being critical of the government has been appointed secretary of state at the Ministry of Rural Development, a royal decree dated July 9 said. Sourn Serey Ratha, the former president of the Khmer Power Party (KPP), told The Post