After bringing subsidiary AIU Insurance Co (美國環球產險) under its wing earlier this month, AIG General Insurance (Taiwan) Co (友邦產險), the local unit of American International Group Inc, set a goal of becoming one of the top three non-life insurers in the market by 2012.
AIG Taiwan -- formerly known as Central Insurance Co (中央產險) -- merged into AIG in August last year and changed its name in June. AIG Taiwan and AIU's local arm formally merged into one entity on Oct. 1.
"This is a merger of strength to strength," Rudi Spaan, chairman of AIG Taiwan, told a press conference yesterday.
As of the end of last month, AIG Taiwan was the fifth-largest non-life insurance underwriter with a market share of about 6.5 percent, Spaan said.
The top four non-life insurers are Fubon Insurance Co (富邦產險), Mingtai Fire and Marine Insurance Co (明台產險), Shin Kong Insurance Co (新光產險) and Cathay Century Insurance Co (國泰世紀產險).
The strategic merger combines the strength of AIG Taiwan's comprehensive distribution network, AIU's innovative products and AIG's global resources, Spaan said.
AIG Taiwan now has 49 branches and communication offices nationwide and more than 1,200 employees. Rather than expanding the number of branches and employees, the insurer plans to enhance the efficiency of its manpower, combining its whole-range products, to reach its goals, Spaan said.
Average annual spending in non-life insurance in Taiwan is US$450 per capita, compared with US$600 per capita in South Korea, and US$1,350 per capita in Europe, he said, adding that the figures show there is still room to grow in the Taiwanese market.
Demand for commercial insurance also increased significantly over the past few years, a company statement said.
The number of investors filing compensation requests against enterprises surged from 81 in 2002 to 60,233 last year, AIG Taiwan said, citing statistics from the Securities and Futures Investors Protection Center (投資人保護中心). The amount of compensation requested from investors also rocketed from NT$29.5 million (US$904,963) to NT$22.86 billion during the period, statistics showed.
"We have no plan to steal customers from our competitors, but we will introduce products that other insurers don't have to expand the overall market," Spaan said.
After commanding nearly 45 percent of market share in directors' and officers' liability insurance, AIG Taiwan introduced the advanced "corporate guard premier" this month, and is on the way to providing financial liability insurance for financial institutions, product recall liability insurance and pollution liability insurance for Taiwanese manufacturers based here or in China, he said.
AIG Taiwan is now waiting for the okay from the Bureau of National Health Insurance to provide health insurance. Services are expected to be launched in the first quarter next year, Spaan said.
Merida Industry Co (美利達) has seen signs of recovery in the US and European markets this year, as customers are gradually depleting their inventories, the bicycle maker told shareholders yesterday. Given robust growth in new orders at its Taiwanese factory, coupled with its subsidiaries’ improving performance, Merida said it remains confident about the bicycle market’s prospects and expects steady growth in its core business this year. CAUTION ON CHINA However, the company must handle the Chinese market with great caution, as sales of road bikes there have declined significantly, affecting its revenue and profitability, Merida said in a statement, adding that it would
i Gasoline and diesel prices at fuel stations are this week to rise NT$0.1 per liter, as tensions in the Middle East pushed crude oil prices higher last week, CPC Corp, Taiwan (台灣中油) and Formosa Petrochemical Corp (台塑石化) said yesterday. International crude oil prices last week rose for the third consecutive week due to an escalating conflict between Israel and Iran, as the market is concerned that the situation in the Middle East might affect crude oil supply, CPC and Formosa said in separate statements. Front-month Brent crude oil futures — the international oil benchmark — rose 3.75 percent to settle at US$77.01
RISING: Strong exports, and life insurance companies’ efforts to manage currency risks indicates the NT dollar would eventually pass the 29 level, an expert said The New Taiwan dollar yesterday rallied to its strongest in three years amid inflows to the nation’s stock market and broad-based weakness in the US dollar. Exporter sales of the US currency and a repatriation of funds from local asset managers also played a role, said two traders, who asked not to be identified as they were not authorized to speak publicly. State-owned banks were seen buying the greenback yesterday, but only at a moderate scale, the traders said. The local currency gained 0.77 percent, outperforming almost all of its Asian peers, to close at NT$29.165 per US dollar in Taipei trading yesterday. The
RECORD LOW: Global firms’ increased inventories, tariff disputes not yet impacting Taiwan and new graduates not yet entering the market contributed to the decrease Taiwan’s unemployment rate last month dropped to 3.3 percent, the lowest for the month in 25 years, as strong exports and resilient domestic demand boosted hiring across various sectors, the Directorate-General of Budget, Accounting and Statistics (DGBAS) said yesterday. After seasonal adjustments, the jobless rate eased to 3.34 percent, the best performance in 24 years, suggesting a stable labor market, although a mild increase is expected with the graduation season from this month through August, the statistics agency said. “Potential shocks from tariff disputes between the US and China have yet to affect Taiwan’s job market,” Census Department Deputy Director Tan Wen-ling
RSS