Posted on 2019-04-15
Panama was consolidated at the end of 2018 as the Central American market with the highest amount of written premiums.
In total, as of December 31, 2018, premium income issued amounted to $ 1,570 million, an increase of 6.7% compared to 2017 when it stood at $ 1,471 million, according to figures from the Panamanian Association of Insurers (Apadea).
Costa Rica presented a negative variation of -3.5%, reaching $ 1,277 million against $ 1,323 million in 2017. In 2018, Costa Rica had 13 insurers and 710 products different insurance, with further growth in branches personal (19.2%) and overall (7.2%) Guatemala also presented a negative variation of -1.7% with $ 937 million in 2018, compared to $ 954 million in 2017. El Salvador, Honduras and Nicaragua showed a positive trend, although they are much smaller markets.
In the case of El Salvador there was a growth in the total premiums market of 6.7% with $ 658 million in 2018 ($ 616 million in 2017). Honduras grew 4.3%, going from $ 437 million in 2017 to $ 455 million in 2018. Nicaragua had an expansion of 1.7% with $ 224 million in 2018, compared to $ 220 million in 2017.
"The Panamanian market continues to be the most competitive in Latin America, excluding Mexico and Chile, and the country that generates more premiums in Central America," said Amílcar Córdoba, president of the Apadea.
In relation to the Gross Domestic Product (GDP) and the amount of premiums, Panama and El Salvador have the highest percentage growth (6.7%) according to the size of the market, explained the president of Apadea.
The Apedea expected that this year the insurance industry maintains a similar growth the country's economy.
Source Capital Financiero
Our Panama attorneys law firm offers a Guide to Doing Business in Panama completely FREE! Download here!Get it now