Prudential fares well in first quarter

Caroline Zheng

Prudential Hong Kong said new business premiums from mainland visitors jumped 80 times in the first quarter from a year ago, expecting the segment could recover to the pre-pandemic level in 2019 by the end of the year.

The insurer put the growth down to a low base of comparison and pent-up demand after the reopening of the border.

The insurer remains positive for business in the second quarter, but the year-on-year increase may not be as high as the first, said Priscilla Ng, chief marketing and partnership distribution officer at Prudential Hong Kong

Ng noted over 60 percent of mainland visitors opted for savings insurance plans in the first quarter, adding that the insurer plans to hire about 4,000 financial consultants this year.

Prudential is not the only insurer in the SAR to see significant growth amid boost by mainland customers. Data from Insurance Authority on Wednesday showed that new business premiums from mainland visitors hit HK$9.6 billion in the first quarter, a remarkable gain of 26.9 times. Despite the strong rebound, the figure was still 75 percent of pre-pandemic levels.

Separately, a survey by Prudential showed that 74 percent of respondents in Hong Kong with critical illness insurance still believe it will be insufficient to cover the high medical costs and the protection gap per person is estimated to be HK$1.18 million. It interviewed 500 Hongkongers in April.