Despite difficulties, general insurance company increases capital successfully

To increase financial potential and meet the demand of growing, general insurance company is realizing authorized capital increase plan. The increasing capital helps insurance company reach its goals.

Despite difficulties, general insurance company increases capital successfully

Increasing authorized capital

As planned, authorized capital of an insurance company has increased from 300 billion to 700 billion VND not only to expand its network in the key locations nationwide but also to expand business activities. This insurance company aims to increase the number of member companies from 20 to 30 units this year. It also wants to establish more representative offices spreading across the provinces and cities nationwide. Increasing authorized capital demonstrated strong financial capacity and significant efforts of the insurance company in the context of difficult economy and financial market.

Other insurance companies share that they are making efforts to realize authorized capital increasing plan as commitment with shareholders to improve financial capacity and add more budget to investment and development plans.

Increasing authorized capital not only meets the internal demand of insurance company but it also meets the safety regulations of capital as a necessary condition in restructure activities. Last year, there were 3 general insurance companies which had finished increasing capital with the total increasing number of money was 662 billion VND.

Small insurance companies hope to improve business results after meeting the capital conditions.

Basically, according to the statistic of the Ministry of Finance, most of the general insurance companies ensure the capital condition after a period of lacking. Increasing authorized capital helps general insurance company operate successfully.

5 months, revenue of general insurance company increases 14.4%

In the first 5 months of 2015, general insurance market remained stable growth with expected revenue reaching 12.287 billion VND, increasing 14.42% compared with the same time last year.

Several insurance companies have high revenue growth rate as a result of taking advantages of partner channels and major customers.