AIA Philippines is optimistic that the number of Filipinos with life insurance would continue to grow in the coming years, driven by better economic conditions and a young population.
AIA Philippines officials noted that the Philippines remains as one of, if not the fastest-growing economy in Asia, even surpassing China and the G-8 countries.
AIA Philippines CEO Kelvin Ang said the number of Filipinos insured in the past five years, between 2017 and 2022, grew by 60 percent, outpacing the country’s economic growth.
Ang traced the rising number of insured Filipinos to the Covid-19 pandemic, as they became more aware of the importance of having life insurance, including healthcare protection.
He added that life insurance companies are “doing better than before” because of the “sheer” demand for such products from the growing Filipino population.
“Death is not anymore the issue but falling ill for six months is the big issue because it is quite expensive,” Ang said at the launching of the AIA Insurance Management and Trust Corp. Philippines (AIAIM) on Thursday.
AIAIM Philippines CEO Angie Pacis said a key driver of the country’s economic growth is the demographic dividend coming from its growing number of young workforce.
“We have a young population – it is a big population with a growing middle class that is even becoming stronger. Because of that we will all continue to attract investments notwithstanding some structural problems,” Pacis said.
Given these prospects, AIA officially launched on Thursday its AIAIM that would oversee the offering of various investment products of the group in the Philippines.
The company said AIAIM Philippines is tasked to “craft investment solutions” for its Philippine clients.
With the launch of AIAIM, the company also rolled out three Unit Investment Trust Funds (UITF) designed to cater to varying investment risk appetite of prospective Filipino clients.
In order to avail of the UITFs, the clients should have an existing or purchase an AIA variable unit linked products.
“These funds were designed to address the various needs and risk appetite of our customers. By creating funds that vary in exposure and investment portfolio, customers have the luxury of choosing what suits their needs, at the level of risk comfortable to them,” AIA Philippines Chief Investment Officer Lee Longa said.