Property insurance premiums increase by 20% in 2022

In a recent report released by the Insurance Regulator of Cambodia, it has been revealed that property insurance premiums are set to rise by 20 percent in 2022. The total premium for property insurance is estimated to reach approximately US$45 million, indicating a significant increase from the previous year.

The general insurance sector in Cambodia covers a broad range of insurance types, including property, auto, transport, engineering, personal accidents, medical, and miscellaneous. As per the report, the total premium for general insurance is expected to increase by 7 percent, reaching US$132 million in 2022.

Property insurance, which constitutes 34 percent of the total general insurance premiums, is expected to witness a substantial surge. This rise in property insurance premiums can be attributed to various factors, such as inflation, increase in property values, and the rising cost of repairs and reconstruction.

Cambodia's insurance industry, encompassing general insurance, life insurance, and micro insurance, has maintained steady growth in recent years. The total premium for the insurance sector is projected to reach US$331 million in 2022, reflecting a year-on-year increase of 10.68 percent.

Overall, the surge in property insurance premiums can be seen as a reflection of the growing demand for property insurance in Cambodia, fueled by the increasing awareness of property owners about the risks associated with property damage and the need for adequate coverage.

Source: Construction & Property News