Finance Minister Dinh Tien Dung told the December 5 opening ceremony insurance is an important pillar of ASEAN financial cooperation and has benefited from the progress towards realising a united ASEAN Community by 2015.

He said ASEAN financial integration has proven particularly successful in capital market development, capital account liberalisation, financial services liberalisation, and insurance cooperation. 

ASEAN and Northeast Asian countries including China, Japan, and the Republic of Korea, have established premium risk prevention mechanisms, a roadmap for developing the securities market, and a credit guarantee and investment trust fund.

Vietnam urged meeting participants to focus on improving management and oversight via early warning systems, distance monitoring, and on-the-spot inspections. Vietnamese authorities are currently drafting the necessary legislation and regulations outlined in the 2011–2020 insurance market development strategy.

AIC member nations will share experiences in developing new insurance products and innovative risk sharing mechanisms, with priority given to natural disaster risks.

Vietnam’s insurance market has made significant progress since its humble beginnings in 1993. Many insurance companies now offer a wide range of products and services but generally still lag behind their regional equivalents in terms of scale and diversity. The Vietnamese Government has encouraged both domestic and foreign businesses to invest in insurance. It will continue to implement its insurance business reform scheme, improving the quality of management and services and reinforcing the sector’s ability to guarantee premiums.