Insurance firms could work together
Myanmar Insurance Business Supervisory Board says it will allow foreign insurance companies to offer services through joint ventures or direct delivery.
“Currently, the government only allows foreign insurance companies to open offices in the country. Then they will be allowed to deliver their services in the special economic zones. Then they will get the green light to deliver services through joint ventures when they get experience and Myanmar’s insurance market becomes strong. We have yet to decide which methods will be used,” said Dr Maung Maung Thein, chairman of the board.
There are 16 international firms with offices in the country but they cannot start offering their services as the standards set for the special economic zones are still under development.
“They have a chance to learn about Myanmar’s insurance market conditions,” said Maung Maung Thein.
No time has been given for when foreign insurance companies can start to operate but it would depend on when domestic firms could gain a foothold in the market.
More than half of the 11 domestic insurance companies get a monthly premium above Ks1 billion, he said
