BMI View: The outlook for the Chilean insurance industry remains positive with both the life and non-life sectors poised for steady growth in 2017 and over the five years to 2021. The country has one of the best developed markets in the Latin America region and the insurance industry is home to a number of indigenous carriers and multinational providers. Primary drivers of insurance in the country include rising levels of economic prosperity, a steady macroeconomic climate, growing levels of disposable income and an uptick in domestic consumption levels. We note that increasing household purchasing power will support a penchant for life insurance and savings along with bolstering purchases of insurable goods such as homes and automotive over the next five years.
Key Updates And Forecasts
A report issued in October 2016 stated that 130,000 injunctions were filed against Chile's private health insurance companies in 2015, all of which were upheld by the courts. In addition, the companies were ordered to pay legal costs of USD34mn, which was double the total paid in 2015.