Forte Insurance has been recognised as Cambodia’s Best Inclusive Business Company 2023 for its positive impact on the growth of agriculture and health insurance in Cambodia at the sixth ASEAN Inclusive Business Summit in late August.
The motivation behind the award was driven by Forte’s Weather Index Crop insurance (WICI) which has played a “crucial role in supporting Cambodia’s agriculture industry by ensuring financial security for farmers”.
A major agriculture insurance player in Cambodia since 2014, Forte provides coverage for losses resulting from natural disasters and extreme weather conditions, like drought and heavy rainfall.
Along with Forte, officials from the Ministry of Industry, Science, Technology and Innovation represented Cambodia at the summit, which was held in Bali, Indonesia.
Youk Chamroeunrith, CEO of Forte Group, said the recognition as Cambodia’s Best Inclusive Business Company served as a testament to Forte’s commitment to ensuring financial security for people at all levels of society and empowering everyone for a better future.
“This recognition has further fuelled our determination to continue working towards enhancing the accessibility and affordability of insurance services in Cambodia and Laos. We firmly believe that everyone deserves a safety net, and we remain steadfast in transforming that belief into reality,” Chamroeunrith said.
According to the Insurance Regulator of Cambodia (IRC), the ratio of national gross written premium (GWP) of the insurance industry to gross domestic product is roughly 1.1 per cent.
In July this year, Ros Seilava, secretary of state for the Ministry of Economy and Finance remarked that the insurance industry in Cambodia has experienced growth over the last two decades.
However, he observed that there is a lack of public awareness about the benefits of insurance or getting insured to ensure protection despite industry growth.
“The industry needs to provide more education to the people about the value of insurance,” he said.
IRC data showed that insurance premiums grew 6.3 per cent to $81.2 million in the second quarter of 2023 from $76.3 million in the corresponding period last year.
Of that, the gross premium from general insurance recorded an increase of 16.4 per cent at $33.3 million in the second quarter of 2023 from $28.6 million in the same period last year. The premium from life insurance, however, dipped marginally to $46.1 million whereas micro-insurance saw a 12.3 per cent rise in premium at $1.7 million.
As of June 30, the industry had 18 general insurance firms, 14 life insurers, seven micro-insurance companies, one reinsurance company, 20 insurance brokers, and 34 corporate agents and loss adjusters.
The total value of the assets in the sector expanded 10.8 per cent to $1 billion as of June 30, 2023 from last year.
In 2022, the insurance sector’s GWP amounted to $331.9 million, up 10.7 per cent from $299.8 million a year earlier, IRC said.
During the period, total assets value was close to $977 million, rising 14.9 per cent year-on-year, with life insurance representing the lion’s share at $662.8 million, up 20.12 per cent, followed by general ($309 million; up 5.23 per cent) and micro ($5.2 million; down 0.08 per cent).