The report forecasts the life insurance market in Southeast Asia to grow at a CAGR of 7.71% during the period 2016-2020.
Commenting on the report, an analyst from the research team said: A trend which is boosting market growth is the rise in the use of BPO for closed-book operations. In Southeast Asia, the life insurance vendors are looking for strategies that can help them reduce operational costs. One of the strategies that may gain momentum during the forecast period is the outsourcing of closed book operations to BPOs. Closed book operations help top life insurance vendors and pension providers to transfer products to a third-party provider for better operational efficiency. While a closed book operation does not generate any revenue, it can have claims and service expenses. Therefore, life insurance companies try to outsource closed book operations, and this creates an opportunity for tier 1 and tier 2 life insurers. Such a strategy also helps top vendors to avoid legacy systems, which are expensive and risky.
According to the report, a key growth driver is the creation of favorable environments to improve profitability. Life insurance companies are enforcing professional and disciplined underwriting practices to ensure healthy growth in the emerging markets like Southeast Asia. Such initiatives are expected to ensure that companies operate on a sustainable basis. In addition, we expect the capital management of the life insurance market to support vendors' growth and tighten solvency capital requirements during the forecast period.
What will the market size be in 2020 and what will the growth rate be?
What are the key market trends?
What is driving this market?
What are the challenges to market growth?
Who are the key vendors in this market space?
What are the market opportunities and threats faced by the key vendors?
What are the strengths and weaknesses of the key vendors?