Insurance industry reports heartening growth

Gross premiums and underwriting profit rise during the first three quarters.

Total gross premiums of Hong Kong’s insurance industry amounted to HK$190 billion in the first three quarters of 2012, up 10% year-on-year, said the Office of the Commissioner of Insurance.

Gross and net premiums of the general insurance business grew 11.3% to HK$30.5 billion and 11.4% to HK$21.1 billion. Overall underwriting profit was maintained at HK$2.1 billion, which is almost similar to that in 2011.

Gross and net premiums for direct business increased 11% to HK$22.8 billion and 11.6% to HK$16.9 billion because of growth in general liability, accident and health and property damage businesses.

The total amount of revenue premiums of long term in-force business was HK$159.6 billion in the first three quarters of 2012, increasing by 9.8% over the same period in 2011.

Premiums for non-linked individual life and annuity businesses increased by 13.3% to HK$108.9 billion. The linked individual life and annuity business, however, fell 1.9% to $36.3 billion. Contributions of retirement scheme business grew by 19.7% to HK$12 billion.

New office premiums of long-term business, excluding retirement schemes, increased slightly by 1.3% to HK$57.3 billion. New office premiums for non-linked individual life and annuity business increased by 14.5% to HK$45.1 billion, while those of linked individual life and annuity dropped by 29.7% to HK$11.9 billion.