Thai insurance companies to cope with AEC

BANGKOK, June 15 (TNA) - The Thai government has encouraged local firms to expand their businesses overseas, including growing insurance companies, in their preparations for the establishment of the ASEAN Economic Community (AEC) by 2015. Speaking at a seminar on the AEC and opportunities of the Thai life insurance business, organized in Bangkok on Friday by the Economic Reporters Association and the Thai Life Insurance Association, Thai Deputy Prime Minister and Finance Minister Kittirat Na-Ranong suggested that Thai business operators take proactive marketing campaigns in response to the formation of the AEC by member countries of the Association of Southeast Asian Nations (ASEAN) over the next three years; otherwise, they would lose competitiveness. Kittirat acknowledged that the Thai public and private sectors need to join forces to prepare human resources, language skills, transportation and logistics to cope with the AEC. Meanwhile, Sutthi Rajitrangsan, President of the Thai Life Insurance Association, said that the life insurance business remains to have high growth potential in Thailand, as only 30 per cent of Thai people have had life insurance. Sutthi urged the Thai government to provide clear information which businesses will be liberalized after the formation of the AEC so that local business operators can plan their projects and propose government assistance. Chone So-phon-pa-nich, President of Bangkok Life Assurance Public Company Limited, pointed out that the AEC will bring more choices to regional consumers, assessing that insurance premiums will then be lower and insurance standards will be improved due to growing competition. (TNA)