Market Trends of Malaysia Life & Annuity Insurance Industry
The life Insurance Segment in Malaysia is Dominated by Endowment and Unit-linked Products
The life insurance segment in Malaysia is dominated by endowment and unit-linked products, driven by the better returns on these products as compared to bank deposits. To build on the popularity of these products and increase sales, many insurers offer attractive add-ons that include guaranteed annual cash payments, higher returns on maturity, and a higher sum assured in case of accidental death.
New Businesses Entering The Life-Insurance Segment
New business total premiums recorded double-digit growth of 12.4%, from RM 11.4 billion in 2020 to RM 12.8 billion in 2021. The growth was driven by the strong rebound of investment-linked policies, which rose 31.2% to reach RM 6.6 billion in 2021. Group policies recorded a moderate growth of 7.7% in new business total premiums to RM 4.1 billion in 2021, while traditional policies charted a decline of 17.3%.
