Regulator eases investment rules for insurance firms

Move could be boon for Thai bourse

- NUNTAWUN POLKUAMDEE

The OIC cut equity risk rules, allowing insurers to potentially double their stock investment in 2026.

The Office of the Insurance Commission (OIC) has eased investment restrictions on insurance companies, lowering equity risk charges to allow insurers to invest more in the Thai stock market.

The move is expected to unlock up to 200 billion baht in additional investment in 2026, while the regulator is preparing to establish a national catastrophe fund to cope with increasingly frequent and severe natural disasters.

Chuchatr Pramoolpol, secretary-general of the OIC, said the regulator is studying details of the proposed catastrophe fund in collaboration with the Thai General Insurance Association and other relevant stakeholders.

The decision reflects growing concerns over climate-related risks, as natural disasters have become more intense and more frequent, said Mr Chuchatr. The fund is intended to be sufficiently large to absorb future risks, he said.