Insurance businesses in the country are stable despite being faced with a number of challenges, says Minister for Mining and Petroleum, Kerenga Kua.
Minister Kua emphasized that the insurance business is growing and is well-positioned in a stable environment.
“And that does impact on insurance business there is profile increases. And it has a direct bearing on the premiums that you pay so there is inflation in premiums,” Kua stated.
He stressed another challenge was finding suitable underwriters internationally who can share the risks of underwriting business in PNG.
“Some risks in PNG are too big for local insurers to absorb so they need reinforcement, shared risks, shared responsibility from other participants around the world. Bigger underwriting companies. It’s becoming more and more challenging and it is common to all of us,” he elaborated.
He emphasized that creating a stable environment is providing employment, doing business honestly, and paying taxes in the right amounts and at the right times.
All of this can contribute to improving stability in the country, improved environment in the insurance industry, reducing premiums, more people running to underwriters in PNG internationally etc.
He applauded Kanda International Insurance Brokers during their 20th anniversary recently, for being the very few out of the many to have survived for 20 years and learning and growing from the challenges.