Relevance key to insurance sector

Premium movements will be shaped by a combination of structural and economic factors. By Nareerat Wiriyapong

- 

Severe flooding is becoming more common in Thailand, as natural disaster risk prompts more companies and households to reassess their protection needs, says Allianz Ayudhya General Insurance.

Last year Thailand experienced an unusually high number of severe events, starting with an earthquake in March that shook Bangkok and finishing with severe floods in the central plains and other parts of the country, including the southern trading hub of Hat Yai.

Infrastructure incidents, notably a sinkhole collapsing on Samsen Road in Bangkok's Dusit area, also increased public awareness of natural catastrophe risks.

“Globally we are seeing a clear trend of more frequent and severe natural catastrophes, and Thailand has felt this especially in recent years,” Lars Heibutzki, chief executive of Allianz Ayudhya General Insurance, told the Bangkok Post.

“We expect more companies and households to reassess their protection needs.”

During natural disasters, speed and reliability make all the difference. In Mr Heibutzki’s view, customers are looking for not only financial coverage, but also fast, clear and uncomplicated claims support when something happens.

“People increasingly view insurance as part of their broader resilience strategy, and we see growing demand for strong partners who can both protect and respond,” he said.

Allianz Ayudhya understands the importance of being there when customers need it, with its teams acting quickly to support inundated clients during the recent floods in Hat Yai, said Mr Heibutzki.

For customers, improving building resilience, installing flood barriers and elevating equipment can help reduce exposure, according to the insurer.