Myanmar airlines move on insurance
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Local airlines of Myanmar are planning to cooperate in setting up a flight-insurance firm in the country with the aim of reducing ticket price.
The move came at a recent national-level workshop on air transport sector development in Nay Pyi Taw.
London-based Willis Insurance Company offered to launch the flight insurance firm to provide insurance cost less than that of state-owned Myanmar Insurance Enterprise.
The local airlines earlier planned to set up an insurance company but failed due to various reasons, said U Kyi Win, chief executive officer of Asian Wings Airlines.
Tickets of some local airlines in Myanmar are more expensive than those in other countries in the region due to the high cost of airline fuel and insurance.
If the two foreign insurance companies – Willis companies and Singapore-based Pana Harrison – get permission to establish the flight insurance firm, local airlines will be able to cut their insurance expenditure, the Asian Wings CEO said, adding that this will ultimately bring down flight ticket price.
The airlines which are currently providing domestic and international flight services in Myanmar are the state-owned Myanma Airways and privately owned airlines Myanmar Airways International, Air Bagan, Asian Wings Airways, Air Mandalay, Air KBZ and Yangon Airways.
