Fiji’s insurance sector reached a record high in total gross premiums in 2022, totalling $409.9 million, according to the Reserve Bank of Fiji (RBF).
However, the industry also experienced a decline in profits, with the general insurance sector’s net profit after tax falling to $32.7 million from $41.9 million in 2021. This decline was attributed to a reduction in non-underwriting income.
According to a report in the Fiji Times, the total assets of Fiji’s insurance industry stood at $2.5 billion in 2022, accounting for 9.0% of the total gross assets of Fiji’s financial system. RBF Governor Ariff Ali said in the 2022 Insurance Annual Report that the Reserve Bank has continued to focus on ensuring that the regulatory framework for the insurance industry remains effective and relevant.
A key development in the sector was the successful piloting and implementation of online submission of prudential returns through the Reserve Bank’s Financial Sector Information System. This digitisation effort has improved the efficiency of data analysis and reporting processes.
Ali also highlighted the importance of innovation and responsiveness to consumer needs in the insurance industry, particularly in the context of the challenges posed by climate change and evolving customer expectations. He emphasised the need for the industry to balance growth with profitability, citing the impact of climate change on risk profiles and the demand for tailored insurance products.
“Companies that focus on technology-driven innovation while remaining customer-centric will continue to thrive. In this regard, the Fijian insurance industry remains committed to promoting micro-insurance initiatives as a disaster preparedness mechanism, developing and offering superior value-added life insurance products, and ensuring adequate coverage for corporate customers and key businesses in Fiji through effective underwriting practices and reliable reinsurance arrangements,” Ali said.
Elsewhere in the island nation, the iTaukei Land Trust Board of Fiji has introduced a new medical insurance policy for 240 of its employees.
