Microinsurance premiums up 23 percent in H1.

MANILA -- Filipinos continue to be more aware of the need for social protection evident in the increase in insurance contributions from low-income people, reaching P6.7 billion in the first semester.

Data released by the Insurance Commission (IC) showed that total premium from microinsurance providers went up by 22.68 percent to P6.7 billion from January to June compared to P5.46 billion in the same period last year.

Similarly, the number of lives insured under microinsurance products inched up seven percent to 52.54 million in end-June from 49.03 million Filipinos.

Microinsurance is specifically targeted toward low-income households or those who have limited savings. It covers compensation for illness, accidents and death.

The IC has been noting improvement in collected premiums, as well as the number of insured lives, amid better public awareness of the necessity of having affordable insurance products.

The IC has been promoting microinsurance among low-income earners, as a means to prepare for emergencies that can drain resources, such as deaths, injury, and damage to property or livelihood.

Of the total premiums in the first half, mutual benefit associations (MBAs) covered the bulk or 54 percent at P3.63 billion. This is an...