Bangkok Life Assurance (BLA) is confident of achieving double-digit growth in first-year premiums this year, putting the SET-listed life insurer on course to generate first-year premiums worth 10 billion baht by the end of 2026.
Chone Sophonpanich, president and chief executive of BLA, said the insurance industry has continued to grow despite unfavourable economic conditions denting consumer purchasing power, as the household debt level in the country remains high.
BLA is scheduled to inform the Stock Exchange of Thailand (SET) of its financial results for the third quarter next week.
"The final three months of the year is the high season for the industry as consumers tend to buy policies during this period to obtain a tax deduction," he said.
The company projected double-digit growth in first-year premiums this year from 6.5 billion baht last year. Based on data provided by the Thai Life Assurance Association, BLA generated first-year premiums worth 4.54 billion baht for the first eight months this year and has a market share of 3.92%.
BLA has investments worth 300 billion baht in its portfolio, 85% of which is government bonds and debentures, mainly domestic ones, with the other 15% real estate investment trusts and stocks.
"Our investment policy focuses on returns in the long term and avoids short-term fluctuations. Recently we saw a decline in US 10-year government bond yields after the Federal Reserve cuts its policy rate by 50 basis points. We think this is a short-term situation and it will affect our investments marginally," said Mr Chone.
Earlier this week, BLA revealed its latest corporate vision that emphasises "caring" as a defining strength. Under this vision, BLA is committed to delivering an exceptional customer experience rooted in care, providing security and peace of mind to policyholders.
The company said the vision will be realised through its trusted agents, advanced technology, and products and benefits designed to meet the diverse needs of all generations.
"Caring has been fundamental to our business approach and is a distinguishing feature of our brand," he said. "We believe in the power of caring to impact everyone in our ecosystem, and we want to transform BLA into the most caring insurance brand for all stakeholders, including customers, agents, financial advisors, business partners, employees, shareholders, society, and the environment."