Singapore. Such a small country but teeming with fruitful promise every day. With the recent death of their beloved founder, Lee Kuan Yew, Singapore’s business discipline stems from his teachings that made Singapore the country that it is today.
With its established financial stature, Singapore continues to be at the forefront of businesses across the globe, making it the regional headquarters of global companies. This is so because of its competitive corporate tax at 17% as of 2013, making it one of the lowest in Asia Pacific. In addition, Singapore has a reputable friendly business environment and excellent infrastructure that is enticing to businesses.
With these, business is booming as usual in Singapore. On the life insurance industry, it maintains steady performance in the half of 2015 at S$1,352.7 million achieved in weighted new business premiums. According to the Life Insurance Association in Singapore, 19% are CPF-funded policies. On the other hand, investment-linked products are S$272 million, which is 20% of total weighted new premiums. PAR or participating products remain to be the biggest contributor to the pie at S$739 million in the 1st half of this year. Even with these numbers, LIA continues its campaign to promote aggressively amongst Singaporeans, policymakers, and its relevant stakeholders.
However, despite the steady performance of the industry, it is not without its concerns. Singapore is known for strict policies, this is why the top concern for the industry players is keeping pace with the country’s regulations, according to a survey done in March and April by the Centre for the Study of Financial Innovation or CSFI with PwC.
Corporate insurance is a given. It provides added security to a business’ employees such as health, life, or even retirement policies. Job seekers consider corporate insurance as an enticing package when considering employment in addition to base salary. At times, it is even the deciding factor. Companies now need to be more creative in their employee packages to entice and retain talent. Corporate insurance is one way to provide a differentiator for workers to choose your company. But other than concern for its employees’ welfare, it also reflects the business’s financial standing.
Still, Singapore is a hub for opportunities albeit with its small geographical space. Notes LIA, they are looking forward to the rest of 2015. Admittedly, there is a gap in the protection space especially in death coverage and also for long-term care. Health insurance is also an area of opportunity for insurance providers as it needs continuous education on the benefits. Overall, industry players need to pay attention to these gaps and campaign for education. Through this, the industry will continue to be stable in Singapore.
Corporate insurance is a necessity for every business. As an insurance provider, it is your role to make them understand the importance of your service. Hiring a lead generation company will definitely boost the opportunity to generate more corporate insurance leads.