Malaysia's insurance sector likely to consolidate further

PETALING JAYA: Further consolidation may be in the cards for the Malaysian insurance industry in the years to come as measures to strengthen local insurers and make them more efficient as well as resilient are implemented.

Fitch Ratings said in a report that the country’s insurers had continued to develop positively especially within the context of Asean’s growing economic integration. “Despite the benign global economic outlook, the country’s low insurance penetration, stable domestic consumption and sustained government infrastructure spending will continue to support premium growth, particularly in commercial lines,” it said.