Because of vehicle and health insurance performance, premiums paid in Panama last year totaled $1.562 million, 6% more than in 2017.
Preliminary figures from the Superintendence of Insurance and Reinsurance detail that last year income from vehicle insurance totaled $321 million and increased 9% with respect to 2017.
During 2018, premiums paid for health insurance totaled $312 million, 7.8% more than reported in 2017.
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%.
In the first quarter of the year, total premiums in the country totaled $338 million, 5% more than in the same period last year, driven by automobile insurance.
Vehicle insurance is the most in demand, reporting $63 million in premiums from January to March 2015, representing an increase of 11.8% compared to the same period last year. The second sector reporting the most growth is health, with premiums of $57.3 million, ie an increase of 6% and finally the premiums for group life reported $41 million, according to the Superintendency of Insurance and Reinsurance in Panama.
Between January and September insurance sales increased by 8.5% compared to the previous year, totaling $892 million.
Most policies sold in that period were in the auto and health categories according to information from the Superintendency of Insurance and Reinsurance in Panama.
The auto insurance sector recorded sales of $153.7 million and health $146.5 million. In addition, group life insurance achieved sales of $110 million.
The venture is in micro-markets with products costing up to $30 per year and with compensation ranging from $10 thousand to $15 thousand.
According to Luis Della Togna, Superintendent of Insurance and Resinsurance in Panama (SSRP), "the idea is to launch low-cost products in order to generate a micro-culture among the middle and lower classes."
With the "interesting economic growth in the country more and more companies are setting up in Panama, some even specialize in the field of life and health for the three class levels," said the official.
From January to December 2012, sales of insurance premiums reflected an increase of 8.16%, reporting a total of more than $138,635,000.
Panamaamerica.com.pa reports that "up to December 2012 were offered 85 million 879 thousand 82 dollars more than the previous year, which shows that consumers are becoming aware of the importance of having an insurance policy, indicated entrepreneurs from the insurance and reinsurance sectors in Panama. "
Policies taken out to July totaled $13.3 million, 49% less than during the same period of 2009.
"Industry sources attribute the drop to three factors: the main one is the effect of British American Insurance Company's bankruptcy but increases in the cost of policies and the fact that people are choosing cheaper coverage with less benefits are also mentioned," reports Edith Castillo for Prensa.com.
In July, written premiums were $78 million, 22% more than the same period of 2008.
Such growth was mainly fueled by individual life insurance (first year), which grew 143%, as it had happened last May.
"According to sources from the industry, the growth of life insurance (first year), is driven by a single company, who is selling in the market this nontraditional product", reports Prensa.com.
34% more life insurance premiums where sold in the first six months of the year when compared to the same period of 2008.
The sectors with most growth, after life insurance, where fire (24.11%) and civil responsibility (24.8%).
"It is precisely in these types of insurance where prices rose the most", reports newspaper Prensa.com, "The only sectors where prices dropped are technical (-18.16%), multi risk (commercial, residential, -11.42%) and maritime hull (-11.47%)".