Vietnam's insurance market is growing rapidlyAccording to the Government's report on the revised Insurance Business Law project which the Ministry of Justice has been appraising, Vietnam's insurance market has grown significantly faster than other countries in the region and the world from 2000 to 2020. The growth rate is maintained for a long time, regardless of the world financial crisis or other negative impacts.
Currently, about 72 insurance enterprises are operating in Vietnam. Among 72, some are non-life insurers while others are insurance brokers and reinsurance companies.
Total assets of the whole market grew by an average of 24 percent annually, reaching VND573,233 billion (US$25 billion) in 2020, of which assets of non-life insurance enterprises reached VND99,340 billion while life insurance enterprises reached VND 473,893 billion.
Total money insurance companies investing in other sectors grew at an average of 24 percent a year, reaching VND468,125 billion in 2020. Of the funds, non-life insurers have poured VND 52,278 billion into other sectors while life insurance enterprises poured VND415,847 billion.
In addition, insurance premium revenue averagely increased by 19 percent a year, reaching VND87,211 billion in 2020. Of these, premium revenue from non-life insurance enterprises reached VND 56,654 billion, and life insurance enterprises reached VND130,557 billion.
Equity of insurance enterprises roughly increased by 38 percent a year, reaching VND127,842 billion in 2020. Of the amount, equity of non-life insurance enterprises reached VND33,516 billion and insurance enterprises for life expectancy reached VND94,326 billion.
By the end of 2020, the insurance market has offered nearly 1,000,000 jobs with stable income. Moreover, employees are trained in finance and insurance. According to statistics of insurance companies, the total insured value is VND11.7 quadrillion.
Currently, about 11.9 million Vietnamese people are buying in life insurance, equivalent to more than 10 percent of the country’s population. Four million people have bought health insurance and short-term health insurance while 12 million students have participated in accident and health care insurance.
Additionally, 18 million passengers and 12 million passengers are insured by aviation and railway accidents while 1,620 million passengers are covered by road accident insurance companies.