Life insurance annual premium equivalent (APE) sales in the first semester of 2023 grew by nearly 10 percent from a year earlier as the industry remained well-positioned to top its annual pre-pandemic level.
APE is the annual total value of all single and recurring premium policies.
The life insurance sector, known for its heavy reliance on face-to-face transactions in marketing its products, was among the most impacted during the pandemic years, but Filipino families are now increasingly prioritizing insurance to safeguard themselves and their loved ones against unforeseen events, according to BDO Life Assurance Company.
Renato Vergel De Dios, an insurance industry expert and president and chief executive of BDO Life, said it is now crucial for individuals to seriously consider insurance and start acquiring essential assets, given the robust financial performance of insurance providers.
“The industry’s growth directly translates into enhanced benefits and security for our valued policyholders, reinforcing our commitment to their financial well-being. Just as now is an opportune time to invest and acquire other personal assets, it is equally timely that our future income is preserved, in the event of untimely death, and its value passed on to our loved ones,” said De Dios.
Only life insurance has the power to transfer future income otherwise foregone, to those who rely on us for financial support. This is the peace of mind that only life insurance can provide so that our loved ones need not worry should anything happen to their financial provider or breadwinner,” De Dios said.
He said securing oneself with life insurance and other assets ensures genuine financial security. The primary purpose of life insurance is to act as a safety net for losses due to death, illness or disability. It is a viable financial Plan B when a person’s program of savings and investments, his Plan A, fails, he said.
