Insurance broker sees growth amid slowdown
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IN THE FACE of Thailand's stagnant economy, TQM Insurance Broker predicts a slower but still double-digit growth rate for its business this year at 11 per cent.
“We expect to boost our premiums to about Bt10 billion this year,” TQM president Unchalin Punnipa said on Sunday.
Last year’s premiums rose 15 per cent to about Bt9 billion, which was short of target.
Napassanun Punnipa, chief executive officer, said this year’s goal was realistic even though there had been signs of late payments by many policyholders.
The broker has been preparing a greater variety of insurance products including those that come with a small premium to better respond to consumers’ needs amid the current economic conditions.
“For example, we can offer smaller insurance products to make them more affordable. For some products, premiums may not go down but we can offer added coverage,” she said.
For example, Motor for Lady will include plastic surgery for women.
The firm was also discussing with strategic partners about launching some more products.
The broker represents various insurers, such as Viriyah, Bangkok and Muang Thai Life.
Motor insurance accounted for 80 per cent of its premiums last year, followed by non-motor at 12 per cent and life at 8 per cent.
Unchalin, who has transformed his family business into a multi-billion-baht juggernaut in a few decades, said no matter the economic conditions, people still need insurance.
“It’s a way to manage risks,” he said.
For this year, the broker has prepared the “TQM Smart Value” strategy focusing on value for money, value for services and value for engagement.
In support of value for engagement, the company unveiled the “Recommending TQM” campaign this month, which runs for a year.
Those recommending TQM to someone else could win a new Honda City for themselves and the new customer.
Although the Asean Economic Community is just around the corner and the company has looked for opportunities in neighbouring countries, its focus was definitely on the home market.
“There are still plenty of opportunities in the Thai market,” he said.
