KUALA LUMPUR (Sept 23): The General Insurance Association of Malaysia (PIAM) expects gross written premiums to grow 6% to 7% in 2014, underpinned by growth for non-motor insurance products.
PIAM Chairman Chua Seck Guan said in a press conference today that the non-motor business lines such as medical and health, liabilities, personal accident, fire and other classes of insurance, would become the catalyst for growth for the next few years.
“With rising medical costs and inflationary pressure, a double-digit growth from the liabilities sector is not an issue here,” he said after the media briefing on the industry’s performance in 1H14.
He added that the impact from the implementation of Goods and Services Tax (GST) next year, would also help retailers to sell big ticket items like cars, which would further support the motor insurance market.
The national trade association registered a 6.4% growth in its gross written premium to RM8.9 billion in 1H14, from RM8.3 billion a year ago.
During the six-month period, medical and health insurance, and liabilities, recorded gains of 13.9% and 10.9% respectively in gross written premium, while motor insurance saw an increase of 8.3%.