AIG balances corporate, retail focus
AIG Thailand Group will continue to maintain its balanced corporate and retail insurance business under the reign of newly-appointed head Tomi Latva-Kiskola.
The company will focus on products in which it has expertise in the two segments, said Mr Latva-Kiskola, president of AIG and chief executive of New Hampshire Co.
At present, both businesses contribute 50:50 of the group's total gross premiums, while insurance products for retail dominate the industry at around 80%.
Last year, the group had gross premiums of more than 5 billion baht.
It ranks ninth in fire insurance, 10th in miscellaneous insurance, 14th in marine insurance and 34th in auto insurance.
The group comprises AIG Insurance (Thailand) and New Hampshire Insurance.
"We prefer to grow in those segments in which we have leadership and expertise," he said.
For corporate insurance, the company has a strong foothold in insurance for large corporations, especially those in energy, property and trade credit.
The group is also keen on marine and cargo insurance products, segments that are still relatively small.
The group expects its premiums to grow at a faster pace than that of the industry, Mr Latva-Kiskola said without elaborating on the target.
Insurance premiums typically grow at twice the pace of a country's GDP.
At the end of last year, the risk base capital (RBC) of New Hampshire stood at 643%, and AIG Insurance's was 591%.
With its strong RBC, the group is able to offer insurance coverage of up to US$1.5 billion (or 45 billion baht) per corporation.
For the consumer business, the group has expertise in auto, travel and personal accident insurance.
Mr Latva-Kiskola said the company planned to launch cyberinsurance in the near future. The product is pending the Office of Insurance Commission's consideration.
Cyberinsurance will provide protection for insured companies in case they suffer damage caused by cyberattacks. The coverage will also be extended to losses of third parties.
In another development, the group has opened up an opportunity for inorganic growth to be in line with the global policy, he said.
AIG Insurance has 11 branches nationwide and one New Hampshire office.