Magazine date:
Jun 2010 According to a report of Axa Asia Pacific, South-East Asia may become more appealing than China for investors interested in acquisitions or mergers. Even though the Chinese insurance market is huge, it is controlled at 80% by the five major national companies which benefit from a favorable legislation. The report shows that the insurance penetration rates in Indonesia and Malaysia remain very poor. The important Indonesian population allows big growth for foreign insurers willing to enter the market. Foreign investors may hold up to 80% of an Indonesian insurance company, thus allowing the funding of large acquisitions.