The insurance sector in Cambodia proved resilient in 2020 despite the pandemic, with total gross premiums nationwide increasing by 7.8 percent to $264.9 million.
However, there remains ample room for growth, as Forte Insurance Group Chief Executive Officer Youk Chamroeunrith told Khmer Times that insurance penetration in the country is still at less than 1 percent.
According to figures released in the National Bank of Cambodia’s Financial Stability Review, general insurance sales grew by 10.5 percent in 2020, with the biggest increases seen in property insurance, which represented 6.4 percent of total growth, medical insurance (2.2 percent) and miscellaneous insurance (1.9 percent) leading the way.
Property and medical insurance represented the largest percentage of premiums, at 35.4 percent, followed by general insurance, which accounted for 18.4 percent of total premiums.
General insurance companies saw an increase of 0.2 percent in the amount of claims paid in 2020, which rose from $29.1 million in 2019 to $29.2 million in 2020.
Chamroeunrith said medical insurance has been rising in popularity as a result of Covid-19 as customers have started realising the importance of protecting their health and finances.
But the vast majority of the population remains uninsured, representing a massive opportunity, he said.