COVID-19 lifts allocation for PH insurance premiums by 27%

Published February 9, 2022, 11:25 AM

by Chino S. Leyco

The extreme challenges posed by the pandemic and its economic fallout over the past two years have fueled Filipinos’ interest in insurance as shown by the 27 percent jump in spending allocation for insurance premiums in 2021, a study by the Hong Kong-based insurer AIA Group revealed.

Based on the AIA Group’s recent study, consumer spending allocations for insurance premiums in the Philippines jumped 27 percent last year, beating the 18 percent growth recorded in the pre-pandemic period.

According to AIA Philippines, the local unit of the Hong Kong-based insurer, the double-digit growth indicates “heightened interest” in using insurance as a way to cushion the impact of future economic setbacks.

Study results also showed a stronger interest in insurance with 75 percent of Filipinos agreeing that insurance has become more important than ever to provide better protection in case of unexpected incidents.

Moreover, 27 percent of respondents said they plan to increase their allocation of funds for insurance.

“The pandemic made everyone realize the need for protection, even among those who are non-believers of insurance,” Tennyson Paras, AIA Philippines associate director for products observed.

“And this is why we developed AIA All-in-One Plus, a new product that provides leveled up protection that Filipinos are looking for during this time of uncertainty,” Paras said.

AIA All-In-One Plus is a comprehensive variable unit link whole life insurance plan with added benefits. It protects the policyholder against four major risks: death, accident, disability and critical illness.

“We recognize that aside from their physical health, Filipinos these days are equally concerned about their financial well-being,” Paras also noted.

“As such, we made sure that AIA All-In-One Plus also gives them an opportunity to maximize potential returns for their investments beyond the basic protection that most insurance companies provide,” he added.

With the AIA All-In-One Plus life insurance plan, policyholders have an opportunity to grow their savings through diversified investment funds available to the product that are suitable to their risk profile.

“In a nutshell, this product will not only provide boosted protection for you and your family, but will also help you take care of your physical and financial health,” Paras said.

“That’s a complete package of benefits in just one product, another way we bring to life our commitment of helping Filipinos live healthier, longer, better lives,” he concluded.