Malaysian insurance to stay on strong growth path

According to a report by the General Insurance Association of Malaysia (PIAM), the general insurance sector is set to record a 5.5 to 6 per cent increase in gross written premiums in 2015. The weaker local currency should help boost domestic consumption, despite global economic headwinds as revenues from oil and other commodities plummet. The government’s plans to maintain development spending should also promote growth, which in turn will see an increase in demand for insurance products. The new goods and services tax (GST) – to be introduced in April – is not expected to have a lasting impact on the sector, though it could slow growth over the next few months.