Islamabad November 15 2023: The Securities and Exchange Commission of Pakistan (SECP) is all set to boost the premium for the insurance sector by around 129.8 per cent from existing Rs 533 billion to Rs 1,221 billion in the next five years (by fiscal year 2028).
Currently out of a total 225 million population only 7.8 million have life insurance, which is just 3.3 per cent while out of total of 30 million registered vehicles, only 0.9 million (just 3 percent) are insured, said SECP Commissioner for Insurance and Information Technology, Aamir Khan while addressing a workshop here.
The workshop titled “Journey to an Insured Pakistan” was organised by SECP with an objective to develop and regulate the insurance sector by balancing the protection of policymakers with industrial growth through regulatory excellence.
Likewise, Amir pointed out that out of a total 32 million registered properties, only 0.5 million are insured. SECP is also set to host the International Insure-Impact Conference 2023 (IIC 2023), a two-day event in Karachi on December 13 and 14, 2023, with the theme “Journey to an Insured Pakistan”.
Through the IIC 2023, the SECP aims to boost the insurance sector by promoting inclusivity, innovation, and resilience through discussions and presentations, highlighting key issues and potential prospects. Meanwhile, SECP Director Insurance and Policy Waseem Khan in his presentation said that insurance was a risk transfer tool and highlighted the importance of insurance. He informed that there were a total 10 million policies, including 8 million life polices with a share of Rs 375 billion (68 percent) and non-life 178 billion (32 per cent). There are 42 insurance companies operating in Pakistan, he added.
He said the protection of policyholders would remain the focus in next five years and also highlighted the transformation of the insurance landscape, modernization of legal framework, facilitation of digitalization, and encouraging collaboration through effective use of Fintech, data sharing and alternate delivery channels.
Waseem Khan also highlighted the operational and strategic outcomes of the strategic direction 2023-2028.