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South Korea,
the East Asian country and the third largest Asian economy, saw its
insurance industry touching astronomical heights after the 1998 Asian
financial crisis. And now, the country’s insurance industry ranks at sixth
to eighth position in the world in terms of insurance penetration rate
(Gross Premium/GDP). Such was the extent of growth that during 2001-2005,
growth percentages recorded by the insurance premium written by life and
non-life insurance surpassed the life and non-life premium written globally,
says “South
Korean Insurance Industry Analysis (2007)”, a scrupulous
research report. The report has evaluated the various market products,
broadly classified into life and general (non-life) insurance.
Life insurance sector in South Korea, once considered a pool of
opportunities, has now turned into a well established market but growth has
still not reached the peak. But despite the growth in life insurance sector,
the number of solicitors (the natural person who aids an insurance
broker/agent in transacting insurance other than life and commercial lines)
was reduced. The report has examined this to find out the cause of this
move.
Insurance
solicitors operating in general insurance sector of South Korea deviated
from high growth path and reported a decline in number in 2005, says the
report. It has identified the reason responsible for this slump in the
number in insurance solicitors.
The report has also detailed on what South Korea is doing to promote its
insurance industry. In the quest to highlight its insurance industry on
international stage, South Korea removed tariff barriers from the life and
non-life insurance sectors in 2000 and 2002 respectively, thus opening the
market for international players. Since then, foreign players have bolstered
their presence in the market, giving tough competition to the domestic
insurers.
“South
Korean Insurance Industry Analysis (2007)”
has systematically analyzed the insurance market of South Korea and gives an
insight into life and non-life insurance sectors, whether in public or
private ownership, together with their future outlook. It says that
insurance industry chips in a major part to the South Korean economy and
sales of insurance products supported its industries even during the
national emergencies, including the foreign currency crisis in late 1990s.
For more information visit:
http://www.bharatbook.com/detail.asp?id=50022 |
