Magazine

Read the latest edition of AIR and MEIR as an Interactive e-book

Aug 2023

Market Profile


Taiwan

Regulation: Positive trajectory ahead

The year 2023 has been active for the insurance industry in Taiwan, with many regulatory changes implemented, aimed at improving the stability and performance of the sector.
 

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Insurers experience profit and solvency woes

Taiwan’s insurers have seen a difficult start to the year, as profitability and capitalisation prove to be a struggle.
 

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Non-life sector faces significant headwinds

Taiwan’s non-life industry, ranked 17 in the world, reported a total of NT$221.2bn in gross written premium in 2022, up by NT$13.8bn or 6.63% y-o-y, driven by growth in the motor and health business.
 

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Reinsurance rates have aligned with international markets

After a pre-tax profit of NT$22.6bn ($730m) in 2021, Taiwan’s P&C insurance industry suddenly faced approximately NT$270bn in policy losses related to COVID-19 payments, prompting the regulator to order four non-life insurance companies to raise capital to maintain solvency.
 

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Life insurance: Back on track soon

Adverse conditions over the last few years ensured that Taiwan life insurance industry’s growth remains subdued. However, the industry is hopeful that with a supportive regulator and COVID now in the past, it will soon be back on tracks.
 

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