Consumer durables is a cataloguing of consumer goods that are not essential to be bought very often as they are fashioned in a way so as to last for an extended period of time. Profits in the consumer durables sector were most profoundly…
BMI View: Although premiums in both the non-life and life segments of Malaysia's insurance sector are
increasing at single-digit rates, there remain good prospects for profitable growth by the leading insurers.
Most of the major insurers have strengths that they are able to leverage such as ability to innovate, multichannel
distribution, access to global capital markets and well-established brands. Many are providing
Latest Updates And Forecasts
? In Q416, we are not making changes to our forecasts for Malaysia's life insurance segment. We continue
to expect growth in gross life insurance premiums to slow over the course of the forecast period from just
over 5% in 2015, to just below 4% in 2020. Other metrics, such as the strong rises in new business
premiums and value of new business for many of the leading companies over the course of 2015, provide
a better indication of the opportunities. Life insurance is well established as a conduit for organised
savings among those households who understand it and value it: many of them are moving from
contributing premiums to drawing down benefits. Nevertheless, the world class life insurers who
dominate the segment are leveraging their various strengths to reach first time customers.
? Even by the standards of South East and East Asia, Malaysia remains one of the most dynamic life
insurance markets globally. Unsurprisingly, the majors all see the country as a key part of their global/
regional footprint. Family takaful remains a relatively fast growing part of the market.