Japanese firms foray into Myanmar's highly uninsured market

Tokio Marine Holdings and Mitsui Sumitomo Insurance are amongst the firms seeking entry into Myanmar.

Five Japanese insurers partnered with local players in Myanmar shortly after the government allowed foreign insurance firms to offer products in the highly uninsured country on their own or through joint ventures, reports Nikkei Asian Review.

Amongst them is Tokio Marine Holdings, which intends to take a 35% stake which translates to aroundt $44.7m (JPY5b), the maximum allowed, in Myanmar’s Grand Guardian Insurance's casualty arm. Nippon Life Insurance will also invest about $18m (JPY2b) in a life insurance joint venture with Grand Guardian's life insurance arm.

Other firms seeking to crack the Myanmar market are forming joint ventures, including Mitsui Sumitomo Insurance and local company IKBZ Insurance, Sompo Holdings and AYA Myanmar Insurance, and Taiyo Life Insurance with Capital Life Insurance. Meanwhile, Meiji Yasuda Life Insurance will gain a foothold indirectly through its 15% stake in Thai Life Insurance, which will form a joint venture with Citizen Business Insurance.

The Ministry of Planning and Finance has already announced the list of foreign insurers which have been granted provisional licenses to operate through wholly owned subsidiaries, including Japan's Dai-ichi Life Insurance, Hong Kong's AIA Group, and UK’s Prudential, amongst others.

Myanmar's population is about 50 million, but its insurance market’s premium revenue only makes up 0.1% of gross domestic product, with accident insurance for snakebites as one of the most popular.

Also Read

HKIA takes action against ethical breach by agent

Asia bears $17b of Q1 natural disaster economic loss

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit