The Thai unit of a French multinational insurance firm is on track for revenue to exceed 6 billion baht this year, supporting its goal of becoming a top 10 player in the local market by 2026, says new chief executive Guillaume Mirabaud.
Mr Mirabaud, who took the helm at Axa Insurance in June this year, said Axa Thailand General Insurance achieved total direct written premiums of 4.65 billion baht in the first nine months of 2024, representing growth of 9.7% year-on-year.
Axa's market share in the Thai insurance sector has surged to 2.2%, rising to 13th from 15th last year with a 2% market share.
The company posted revenue growth despite industry written premiums rising only 0.1% over the period to 210 billion baht, attributed to a sharp contraction in the domestic automotive industry, he said.
"The general insurance market is very much influenced by motor insurance, which has struggled this year, with car sales plummeting by roughly 20-25% year-on-year. This had an impact on all non-life business," Mr Mirabaud told the Bangkok Post.
The automotive industry was hampered by difficult economic conditions, as it is harder for people to be approved for car loans, he said.
At Axa Thailand, motor insurance accounts for 56% (2.6 billion baht) of its total portfolio, ranking 14th in the market. Health insurance represents 17% at 809 million baht, and other insurance products including marine, personal accident, travel, fire and industrial all-risk policy make up 27% (about 1.05 billion baht).
Despite the market challenges, Mr Mirabaud said Axa remains on track to achieve its revenue target of more than 6 billion baht thanks to focusing on health and commercial line insurance.
December is traditionally a strong month for insurance sales, he said.
Over the last four years, Axa's revenue has grown by around 20%, lifting its presence in the Thai market from 27th in 2019 to 13th at present.
For 2025, the insurer wants to boost its revenue by 5-10%, which Mr Mirabaud said is healthy when compared with projected Thai GDP growth of around 3%.
The company's main strategy is to continue to diversify from a dependence on motor insurance, he said.
"My wish is to continue growing, and by 2026 we want to be around tenth in the Thai market," said Mr Mirabaud.