INSURANCE PROFIT RISES 32% IN SINGAPORE

The member companies of the Singapore General Insurance Association (GIA) have reported a gain of S$232m for 2005, up 32% year on year. GIA president Derek Teo said that it was the first time in the past 10 years that the industry’s underwriting gross profit had exceeded S$200m. Revenue for the year was S$2.1bn, with motor insurance accounting for about a third of this. A Channel NewsAsia report last night said that, in the face of increasing competition for business, the Monetary Association of Singapore was planning to issue additional guidelines on risk underwriting, pricing and reserving, to protect policyholders and ensure a stable expansion of the industry.