Thailand Motor Insurance Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

Thailand Motor Insurance Market is segmented by Insurance type (Compulsory, Voluntary); by Distribution Channel (Agents, Brokers, Banks, and Others)

Market Snapshot

Thailand Motor Insurance Market Overview
Study Period: 2018-2027
Base Year: 2021
CAGR: >6 %

Need a report that reflects how COVID-19 has impacted this market and its growth?

Market Overview

Lower sales of automotive vehicles, majorly hindered the overall motor insurance market, in 2020, mainly owing to the outbreak of COVID-19 pandemic. Despite its ability to hold its own in the digital realm, the sector remains the most impacted in terms of the total auto insurance industry. The epidemic has had the greatest impact on dealers and offline insurers, as there has been no car purchase or sale due to the lockdown.

As of September 2019, the direct premium of compulsory motor insurance was 13.99 billion THB and voluntary motor insurance 91.2 billion THB. Overall Motor insurance direct premium was 10.51 billion THB and it holds 59.27% share in the overall non-life insurance segment. The number of policies has been increased and totaled to 25 billion in compulsory motor insurance and 7.7 billion in voluntary motor insurance. The Thai non-life insurance market is highly competitive, the top 10 insurers have an aggregate market share of 60%. the combined operating ratio (COR) for motor insurance has increased in recent years and stood at 106.7% for 36 companies in 2018. The contrasts with the COR (combined operating ratio) for non-motor businesses, such as fire, marine and other lines which was 81.5%.

Competition is expected to increase with the increasing prominence of technology. Moreover, to maintain underwriting efficiency and retain market share, most insurers are actively developing their own technology, adopting InsurTech, or partnering with brokers on established InsurTech platforms, motor insurance and health insurance companies are the most active in these developments.

Scope of the Report

This report aims to provide a detailed analysis of the Thailand Motor Insurance Market. It focuses on the market dynamics, emerging trends in the segments and regional markets, and insights on various product and application types. Also, it analyses the key players and the competitive landscape in the Thailand Motor Insurance Market. Thailand Motor Insurance Market is segmented by Insurance type (Compulsory, Voluntary); by Distribution Channel (Agents, Brokers, Banks, and others)

By Insurance Coverage
Compulsory
Voluntary
By Distribution Channel
Agents
Brokers
Banks
Others

Report scope can be customized per your requirements. Click here.

Key Market Trends

Growth in non-life insurance premiums driven by the motor insurance sector

Non-life insurance premium growth in Thailand in 2020 was 4.1%. The Thai life insurance market has risen in previous years as an economic bright spot, with both premiums and policy penetration rates on the rise. In the third quarter of 2021, car insurance held the largest share of 55 percent of all non-life insurance premiums written in Thailand. The Thai non-life insurance market has risen as an economic bright spot in previous years, with premiums and policy penetration rates both on the rise. This is expected to drive the growth of motor insurance market in the country.

non-life insurance premiums

Increasing production and sales of electric vehicles is expected to surge the market growth

The country produced 1.6 million units in 2020 and exports more than half of its output to more than 100 countries. In 2018, the government approved projects to produce HEVs (Hybrid Electric Vehicles) and batteries by Nissan Motor Co and Honda Motor Co valued up to THB 28 billion. Meanwhile, Mazda Motor Co was granted investment privilege to manufacture HEVs and has decided to apply for production of full EVs in Thailand.The Thai government is persistently trying to encourage the manufacturing of EVs (Electric Vehicles) and high-tech auto parts through the promotion of BOI (Board of Investment of Thailand) incentive packages. This increased focus towards production and sales of electric vehicles backed by government agencies is expected to drive the growth of the motor insurance market in Thailand.

newly registered hybrid electric vehicle (HEV) motorcycles

Competitive Landscape

The report covers the major players operating in the Thailand Motor Insurance Market. The market is Consolidated due to top companies hold approximately 60% market share. Thaivivat, an insurance company in Thailand, has partnered with telco AIS to draw uninsured drivers across the country. The idea is to provide a kind of coverage that is affordable through a unique product that is the first of its kind in the world.

Recent Developments

  • In 2022, Bangkok Life Assurance joins forces with Personal Loan Business “KTC” or Krungthai Card Public Company Limited and Hugs Insurance Broker Company Limited to Expand new marketing channels Motorcycle loan protection P'Berm.
  • In 2020, Siam City Insurance has changed its name to FWD General Insurance Public Company Limited, the rebrand follows acquisition of Bangkok based SCI. 

Table of Contents

  1. 1. INTRODUCTION

    1. 1.1 Study Deliverables

    2. 1.2 Study Assumptions

    3. 1.3 Scope of the Study

  2. 2. RESEARCH METHODOLOGY

  3. 3. EXECUTIVE SUMMARY

  4. 4. MARKET DYNAMICS

    1. 4.1 Market Overview

    2. 4.2 Market Drivers

    3. 4.3 Market Restraints

    4. 4.4 Value Chain / Supply Chain Analysis

    5. 4.5 Porters 5 Force Analysis

      1. 4.5.1 Threat of New Entrants

      2. 4.5.2 Bargaining Power of Buyers/Consumers

      3. 4.5.3 Bargaining Power of Suppliers

      4. 4.5.4 Threat of Substitute Products

      5. 4.5.5 Intensity of Competitive Rivalry

    6. 4.6 Key Market Insights

      1. 4.6.1 Impact of Government Regulations and Initiatives on the Insurance Industry

      2. 4.6.2 Technology innovaton in insurance industry

    7. 4.7 Impact of COVID-19 on market

  5. 5. MARKET SEGMENTATION

    1. 5.1 By Insurance Coverage

      1. 5.1.1 Compulsory

      2. 5.1.2 Voluntary

    2. 5.2 By Distribution Channel

      1. 5.2.1 Agents

      2. 5.2.2 Brokers

      3. 5.2.3 Banks

      4. 5.2.4 Others

  6. 6. COMPETITIVE LANDSCAPE

    1. 6.1 Company Profiles

      1. 6.1.1 THE FALCON INSURANCE PUBLIC COMPANY LIMITED

      2. 6.1.2 FWD GENERAL INSURANCE PUBLIC COMPANY LIMITED

      3. 6.1.3 AIG INSURANCE (THAILAND) PUBLIC COMPANY LIMITED

      4. 6.1.4 BANGKOK LIFE ASSURANCE PUBLIC COMPANY LIMITED

      5. 6.1.5 ALLIANZ AYUDHYA ASSURANCE PUBLIC COMPANY LIMITED

      6. 6.1.6 THE VIRIYAH INSURANCE PUBLIC COMPANY LIMITED

      7. 6.1.7 BANGKOK INSURANCE PUBLIC COMPANY LIMITED

      8. 6.1.8 SYN MUN KONG INSURANCE PUBLIC COMPANY LIMITED

      9. 6.1.9 DHIPAYA INSURANCE PUBLIC COMPANY LIMITED*

    2. *List Not Exhaustive
  7. 7. MARKET OPPORTUNITIES AND FUTURE TRENDS

  8. 8. DISCLAIMER AND ABOUT US

You can also purchase parts of this report. Do you want to check out a section wise price list?

Frequently Asked Questions

The Thailand Motor Insurance market market is studied from 2018 - 2027.

The Thailand Motor Insurance market is growing at a CAGR of >6% over the next 5 years.

THE FALCON INSURANCE PUBLIC COMPANY LIMITED, AIG INSURANCE (THAILAND) PUBLIC COMPANY LIMITED, BANGKOK LIFE ASSURANCE PUBLIC COMPANY LIMITED, FWD GENERAL INSURANCE PUBLIC COMPANY LIMITED, ALLIANZ AYUDHYA ASSURANCE PUBLIC COMPANY LIMITED are the major companies operating in Thailand Motor Insurance market.

80% of our clients seek made-to-order reports. How do you want us to tailor yours?

Please enter a valid email id!

Please enter a valid message!