Between July and October 2020, the number of people in Guatemala exploring options for life insurance online increased by 3%, and the number of Panamanian consumers seeking auto insurance increased by 39%.
CentralAmericaData's interactive platform, Consumer Insights, monitors in real time changes in consumer habits in all markets in the region and in other Latin American countries, with fundamental information to understand their behavior, new trends and anticipate eventual changes in their purchase patterns.
Panamanian businessmen consider unviable the bill that intends to force insurance companies to cover medical expenses related to the coronavirus.
The bill, which was presented by Representative Zulay Rodriguez, seeks to ensure that insurance company clients are attended to in case they are infected with covid-19, however, policies do not usually provide coverage when the disease is declared as an epidemic or pandemic.
In the first eleven months of 2018, premiums of $1.378 million were underwritten in Panama, exceeding by 6% the value reported in the same period of 2017.
The latest data from the Superintendence of Insurance and Reinsurance, detail that between the first eleven months of 2017 and the same period of 2018, the value of premiums underwritten went from $1.301 million to $1.378 million.
In the first nine months of this year, premiums of $1,115 million were written in Panama, exceeding by 4.9% the value reported in the same period of 2017.
The latest data from the Insurance and Reinsurance Superintendence, between the first nine months of 2017 and the same period in 2018, the value of premiums written went from $1.063 million to $1.115 million.
In the first seven months of this year in Panama, $864 million worth of premiums were written, an amount that exceeds by 3% the value reported in the same period in 2017.
According to figures from the Superintendency of Insurance and Reinsurance, between the first seven months of 2017 and the same period in 2018, the value of subscribed premiums went from $839 million to $864 million.
Three insurers distributed 52% of the premiums generated in January of this year, which in total amounted to $129 million.
In the first month of 2018, the three insurance companies that subscribed the largest proportion of the premiums were Assa Compañía de Seguros, Compañía Internacional de Seguros and Mapfre Panamá, with $32 million, $19 million and $16 million, respectively.
Explained by the behavior of the Costa Rican market, in 2017 Central American insurers received $5.02 billion in premiums, 7% more than in 2016.
According to a report drawn up by Revista Desempeño Asegurador, in 2017 "... insurance sales in the region expressed an absolute increase of US $334.7 million, an amount that represented a rise of 7.1% compared to sales in 2016."
Projections are that this year growth of the Central American insurance sector will be driven by activities in the markets of Costa Rica and Guatemala.
From the report "Prospects 2018: Insurance Sector in Central America" by Fitch Ratings:
Stable Rating Perspective:The rating outlook for the Central Americaninsurancesectoris stable for 2018, given that most of the rated companies maintain a stable outlook on an individual basis.Fitch Ratings believes that the sector shows stable fundamentals, as a result of good profitability levels and high liquidity and capitalization indicators in all countries, which it expects to continue to be reflected in solid balance sheets in companies.
In 2017 in Panama, premiums totaled $1.471 billion, 5% more than in 2016, but the loss ratio in fires and floods increased almost four times.
According to a report by the Superintendency of Insurance and Reinsurance of Panama (SSRP), in 2017 market growth was accompanied by an increase in claims, as insurance companies paid out $119 million for the fire and flood coverage policies, a figure that exceeds the $26 million disbursed in 2016 by 365%.
Between January and October 2017, premiums grew 4% compared to the same period in 2016, explained in part by a 9% increase in health insurance and 14% in collective life insurance.
Figures published by the Comptroller General of the Republic indicate that premiums in the Individual Life insurance sector registered an increase of 4.4%, while those of Health increased 9%.On the other hand, collective life insurance premiums increased 14.3%.
Granting insurance for a period of 15 days and limiting the scope to medical care are some of the changes that are being prepared to re-offer free medical insurance for tourists.
Previously the insurance covered up to 30 days for tourists entering through the international airport of Tocumen, but now the new proposal that is under study by the Tourism Authority would reduce the term to two weeks, which is the length of time that most tourists stay in the country.The benefit was implemented by the Martinelli administration in 2011 andcanceled three years later, due to its high cost.
In January $136 million worth of insurance premiums were sold, below the $138 million sold in the same month of 2016.
The decrease compared to January last year is mainly explained by a reduction in premium segments such as maritime, aviation, technical, various risks and bonds.
Laestrella.com.pa reports that "...In the first month of this year, insurance sales associated with maritime activities decreased by 65.1% and those related to the airline industry shrank by 9.7%.Similarly there were contractions in sales in the technical category (-26.1%), insurance of various risks (-29.3%) and bonds (-4.6%)."
According to Fitch Ratings growth in the insurance sector in Central America in 2017 will be driven by the markets of Costa Rica and Nicaragua.
From the report "Outlook 2017: Insurance in Central America" by Fitch Ratings:
Rating Outlook Stable:Fitch Ratings´outlook for insurance ratings in Central America is stable. The agency believes that there is a limited probability of rating adjustments in the next 12 to 18 months, which could lead to significant changes in the risk profile or the weighted support in some cases.
Health insurance recorded the highest growth, going from $95 million in subscribed premiums up to May 2015 to $106 million in the same month in 2016, which is an increase of 11%.
Between May 2015 and May 2016 the total amount of premiums written in the first five months of the year rose from $555 million to $566 million in the same period this year.