In Panama, industry authorities have ordered insurers to refrain from applying increases to individual premiums that are not contemplated or authorized in health policies.
According to the order given by the Superintendency of Insurance and Reinsurance, insurers that made increases to policies that were unforeseen and not authorized by the regulator, in the last twelve months, will have to refund the excess to customers.
Ten years after the elimination of the insurance monopoly in Costa Rica, private insurers have managed to "steal" from the state company about 12% of the market.
Mapfre Seguros, Sagicor, Assa Compañía de Seguros and Best Meridian Insurance are some of the 12 private companies that have been competing in the Costa Rican insurance market since 2008, when the law came into force opening up the business which for more than 80 years was in the hands of a single company, Instituto Nacional de Seguros.
In the first five months of the year, total income from insurance premiums in Costa Rica added up to $682 million, registering an increase of 6% compared to the same period in 2017.
Between January and May of this year, growth of mandatory insurance was mainly due to the 14% increase registered in occupational risk premiums, according to a report by the General Superintendence of Insurance.
According to the union of insurers in El Salvador, between January and March net premiums totalled $149 million, 2% less than the $152 million reported in the same period in 2017.
After registering a modest 2% growth between 2016 and 2017, representatives of the Salvadoran Insurance Association (ASES) reported that during the first quarter of the year a 2% drop in contracted premiums was reported, compared to the months from January to March 2017.
With the aim of boosting the insurance market in El Salvador, business leaders in the sector are proposing changes to the legislation that would allow for expanding marketing channels for policies.
After the Salvadoran insurance market recorded growth of 1% in 2017, bills have been prepared that have been submitted to the Presidential House, which seek to reactivate the sector, through the commercialization of microinsurance focused on people with low incomes.
Growth in policies for health and boats and aircrafts accounted for most of the 19% growth recorded in the first quarter of the year.
Data from the Superintendency of Insurance indicates that during the third month of the year the agricultural and livestock sector registered an increase of 64% compared to March 2017, followed by health insurance, whose premiums increased by 27%.
In Panama during the first three months of the year $367 million was written in premiums, which is 2% more than the $360 million reported in the same period in 2017.
During the first quarter of 2018, the three insurance companies that wrote the largest proportion of these premiums were Assa Compañía de Seguros, Compañía Internacional de Seguros and Mapfre Panamá, with $70 million, $62 million and $56 million, respectively.
The Superintendence of Competition has authorized the purchase of Davivienda Vida Seguros by the Honduran company Inversiones Atlántida.
A statement issued by the Superintendence of Competition (SC) indicates that the purchase of the insurer Davivienda Vida Seguros, S.A., Seguros de Personas (Davivienda Vida), was made through the Salvadoran subsidiary of Grupo Atlántida,Inversiones Financieras Atlántida, S.A.
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.
Representatives from the sector stated that in 2017 premiums totalled $627 million, which meant an increase of just 1% with respect to the figures reported in 2016.
According to the Salvadoran Association of Insurance Companies (Ases) last year's performance was associated with lower demand in some sectors, greater competition and a volume of risks that has not increased substantially.
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."
Growth in sales of vehicles and homes in the country has generated an opportunity for the insurance business, in a market where penetration is only 3%.
Greater purchasing power and the consequent increase in purchases of homes, cars and other goods is generating interesting opportunities for other complementary businesses.
The Superintendency of Insurance announced the intervention for 180 days into operations of the reinsurer Casualty Re, for breaching rules on capital adequacy.
From a statement issued by the Superintendent of Insurance:
During the first half of the year insurance sales grew by 17% compared to the same period in 2016, explained by a general increase in all types of policies.
From the Monthly Bulletin by the Superintendent of Insurance:
In June 2017,insurance premium income grew by ¢59.9 billion (16.7%) compared to the same month in 2016, closing at ¢418 billion. Growth was generalized by category and, in all cases, higher than the main price and production indicators. Compulsory insurance was the main component of growth, with a consequent increase (4 pp) in its share of total premiums.The increase was especially noteworthy in work risk insurance policies (49%).
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