The Hanoitimes - The figure has exceeded the target of VND129.2 trillion (US$5.68 billion) for 2018, the government portal reported.
Total premiums collected by insurance companies in Vietnam are projected to reach VND133 trillion (US$5.7 billion) in 2018, up 24% year-on-year, according to the Insurance Association of Vietnam (IAV).
The figure has exceeded the initial target of VND129.2 trillion (US$5.68 billion) for 2018.
Vietnam’s insurance market continues to grow at a rapid rate, with insurance companies going through the restructuring process and enhancing competitiveness, stated Tran Vinh Duc, acting chairman of IAV at a conference on December 18.
Upon breaking down, non-life insurance companies' revenue reached VND45 trillion (US$1.93 billion) and life-insurance companies VND87 trillion (US$3.73 billion).
In 2018, total assets of insurance companies operating in Vietnam are estimated at VND384 trillion (US$16.47 billion), up 21% year-on-year. Among them, assets of non-life insurance companies could reach VND81 trillion (US$3.47 billion) and those of life-insurance companies VND302 trillion (US$12.96 billion).
Meanwhile, equity of insurers should reach VND76 trillion (US$3.26 billion), up 16% year-on-year.
Companies are expected to pay VND36 trillion (US$1.54 billion) in insurance benefits to customers. Of the total, non-life insurance companies paid VND17 trillion (US$729.86 million) and life insurance companies VND18 trillion (US$772.65 million).
Insurance companies are set to reinvest VND319 trillion (US$13.69 billion) into the economy, up 29% year-on-year.
The Insurance Supervisory Authority (ISA) under the Ministry of Finance informed in July that it would step up efforts in restructuring the insurance market towards transparency, safety and efficiency in the remaining months of the year.
According to the Vietnam Insurance Association, up to 18 companies are active in Vietnam's life insurance market. Except for Bao Viet Life Insurance, which is a Vietnamese business, the remaining ones are joint ventures and wholly foreign-owned insurers, including the presence of the world's leading finance and insurance groups.
Overall, Vietnam has 63 insurance companies, of which 30 are non-life insurers, 18 life insurers, two re-insurers and 13 insurance brokers.
The market's revenue in 2017 reached VND105.6 trillion (US$4.64 billion), up 21.2% year-on-year, marking the fourth consecutive year with growth rate exceeding 20%.