Thailand based Dhipaya Group Holdings has revealed that the country's non-life insurance industry premium could grow 2.5 times to reach 734bn baht ($21.6bn).
The Thai non-life segment currently generates 31% of the total insurance premium in the market, valued at 276bn baht, while the rest is life insurance business.
The country’s insurance penetration currently is 1.9%, while insurance penetration in Asia's leading insurance market stands at 6%. Dhipaya believes that an increase in digital adoption in the market can drive up non-life premiums, currently valued at 180bn baht and increase penetration levels in the country.
With a focus on building the insurance ecosystem through AI, Dhipaya, through its subsidiary TIP ISB, has formed a joint venture with Beryl 8 Plus (BE8) called HoriXon T8. Through this collaboration, the company plans to utilise AI to analyse data and design more personalised products for clients, as well as driving marketing and sales and distribution.
With a booming tourism sector and a growing economy, the Thai General Insurance Association expects the non-life insurance industry to grow by 0.5-2.5% in 2025. There is also greater public investment and budget disbursement, along with growing domestic consumption and manufacturing activity in the country. As medical expenses continue to rise, the health insurance sector plans to adopt a co-payment scheme from March 2025, for simple disease claims, where customers only need to pay for a certain portion of a claim.