More Singaporeans are buying life insurance

Importance of financial planning taking hold among more citizens, says industry leader

More Singaporeans are buying life insurance

Insurance News

By Gabriel Olano

Singapore’s life insurance industry has achieved double-digit growth for the first three quarters of the year, showing strong uptake across many product types.

According to the Life Insurance Association (LIA), total weighted new business premiums from January to September increased by 18% year-on-year, reaching SGD$2.75 billion. In the same period, the sum assured for new business rose by 14% to SGD$92.5 billion, with both single- and annual-premium products registering growth.

For weighted single premiums, there was a 23% year-on-year increase to SGD$900.7 million, while weighted annual premiums increased by 15% to SGD$1.85 billion, the Straits Times reported. Weighted premiums for retirement products had a 27% increase to SGD$147 million.

“More Singaporeans recognise the value of financial planning and insurance for their future, and this is reflected in yet another quarter of strong growth for the life insurance industry,” commented LIA Singapore president Patrick Teow.

“Especially against the backdrop of Singapore’s rapidly greying population, we are heartened that Singaporeans are actively taking up insurance policies to secure steady income streams in their retirement years.”

Singapore’s life insurance industry paid out SGD$4.07 billion in claims to policyholders and beneficiaries from January to September. SGD$3.41 billion was for matured policies, while SGD$657 million was for death, critical illness, or disability claims.

The number of people employed by the industry also grew from 6,540 last year to 7,047 at the present, or an 8% increase.  

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