The insurance density, or the average spending of each individual on insurance, in the country in the third quarter of 2022 posted a double-digit growth of 48.16 percent year-on-year, the Insurance Commission (IC) reported yesterday.
In a statement, the IC said the amount of insurance premium per capita rose to P2,525.1 in the third quarter of 2022 from P1,704.27 in the same period a year ago.
“The year-on-year increase in insurance density attests to the Filipino insuring public’s increasing positive outlook in the benefits that insurance coverage can bring to them, especially in terms of financial security,” Dennis Funa, insurance commissioner, said.
“Notwithstanding contractions in certain performance indicators, the growths registered by life and non-life insurers and mutual benefit associations (MBAs) as regards their total net worth, total paid-up capital/guaranty fund and total premiums earned inspire confidence in said industries’ responsiveness to the insuring public’s needs as we continue to move forward amid the economic challenges posed by the COVID-19 pandemic,” he added.
Meanwhile, insurance penetration, or premium volume as a share of the gross domestic product, which measures the contribution of the insurance sector to the national economy, slightly contracted from 2.05 percent to 1.81 percent.
The IC also reported that the total net worth and total paid-up capital and guaranty fund of life and non-life insurers and MBAs grew by 9.44 percent and 9.26 percent year-on-year, respectively.
The three industries’ total premiums likewise grew by 1.13 percent, while total assets posted a 0.75 percent increase.
Amid modest growths in the said indicators, the three industries’ total benefits paid, liabilities, invested assets and net income slightly contracted year-on-year.
Liabilities decreased by 1.22 percent, invested assets contracted by 2.9 percent and benefits paid was down 0.17 percent.
The total net income also posted a decline of 6.67 percent. – Angela Celis
