The president of the board of directors of the Dominican Chamber of Insurers and Reinsurers (Cadoar), James García, reported that, between 2022 and 2023, the insurance sector has paid out more than 10 billion pesos in flood and property claims.
“The companies that make up Cadoar “They are companies that have always been present. We also did so in the unfortunate explosion in San Cristóbal and every time there is a tragedy we are present because it is our obligation. We are there at the moment of truth,” said the executive of the Cadoar .
García offered his statements within the framework of the “Cadoar: Challenges and transformation of insurance for 2034 : Global Perspective and Strategies for the Dominican Republic”, where he pointed out that the growth of the market only represents the confidence that clients have in the sector.
“He insurance sector Dominican is at a crucial moment of transformation, driven by technological innovation, changing consumer demands and an ever-evolving regulatory landscape,” he said.
He said that despite challenges such as digitalization, emerging risks and the climate change the industry remains optimistic and sees these challenges as opportunities to innovate, adapt and create joint resilience.
Behavior of the insurance sector
In that same scenario, the Superintendent of Insurance, Josefa Castillo, pointed out that, for the first time, the written premiums for the insurance market exceeded 2.1 billion dollars, with a growth of 18.8%.
In Dominican pesos, premiums experienced an increase of 21.6%, reaching 118.39 billion pesos. This marks the overcoming of the barrier of 2 billion dollars and 100 billion pesos. Dominican pesos he explained.
Regarding the improvement in the benefits of the insurers Insurers’ profits in 2023 exceeded 9.8 billion pesos, reflecting an increase of 83% compared to 2022.
The official also referred to the modification of Law No. 146-02 on Insurance and Bonds, pointing out that the Superintendency of Insurance has worked on this issue with the aim of having a robust regulatory framework which promotes the solvency and transparency of the sector and the protection of policyholders.
He assured that the project, which he delivered in the Cadoar Congresshas been an exercise in participation and democracy, incorporating proposals from all sectors involved and based on important pillars:
- Adoption of International Standards and Core Principles of Insurance (ICP).
- Risk-Based Supervision.
- User Protection.
- Strengthening the consequences regime through administrative sanctions.
- Implementation of Solvency II and IFRS-17.
- Corporate governance.
- Continuous and updated training that will positively impact the insurance market and practice.
Participating in the Cadoar congress, the Minister of Economy, Planning and Development of the Dominican Republic (Mepyd), Pavel Isa Contreras, said that in any economy, the volume or size of the insurance market It will be robust if labor and economic formality predominates in that economy.
“The transfer of risk “of any asset or economic resource must go through formalities,” he stressed.
