Union Insurance Company
Corporate
Personal
Corporate
Marine Cargo Insurance Marine Hull Insurance   Fishing Vessel Insurance
Aviation Insurance Engineering Insurance Miscellaneous Insurance

Marine Cargo Insurance


As a result of new changes instituted in the trade regulations, many accounts have been insured outside of Taiwan.  The current market generated NT$ 6,128 billion (US$ 202.22 million).  Union? premium income in 2006 was NT$ 380 million (US$12.54 million), a modest growth of 3% over last year, resulting in a market share of 6.19%.  Premium income is budgeted at NT$ 400 million (US$ 12.5 milion) for 2007.  Considering the developments in cross-strait relationships and the increased volume of trade in the area, a health growth is to be expected.


Marine Hull Insurance  TOP

Premium income for 2007 amounted to NT$ 316 million (US$ 9.58 million) with a market share of 15.40%, ranking third in the market.  The budget for 2007 is NT$350 million (US$ 10.61 million), which we hope to attain with years of experience insuring large fleets, including bulkers, container vessels, ferries, liners, patrol boats and such, along with reinsurance support during this stretch of unprecedented demand for vessels.


Fishing Vessel Insurance  TOP
Premium income for 2006 was NT$ 147 million (US$ 4.45 million) with a market share of 20.19%, ranking second.  Under heavy competition, Union sustained a negative growth of 6% copmared to NT$ 156 million in premium income from 2005.  The budget for 2007 is NT$ 180 million (US$ 5.625 million) which we aim to attain through closer development with our existing clients.

Aviation Insurance  TOP

Premium income for 2006 amounted to NT$ 104 million (US$ 3.15 million), a negative growth of 15% from the previous year.  These past few years, there has been a sharp decrease in aviation fatalities worldwide, the result being a general reduction in rates worldwide and Taiwan is of no exception.  Budget for 2007 is NT$130 million (US$ 3.94 million), increase of 25% from the previous years premium income, on anticipation of airlines taking delivery of new and more expensive aircrafts.  Once the issue of direct links between Mainland China and Taiwan is resolved, the aviation transportation industry will prosper. Thus, the outlook for the aviation insurance business will similarly flourish.


Engineering Insurance  TOP

Boiler and Pressure Vessel Insurance
Contractors' All Risks Insurance
Contractor's Plant and Machinery Insurance
Electronic Equipment Insurance
Election All Risks Insurance
Machinery Breakdown Insurance

Engineering insurance premium income in the Taiwan market for 2006 amounted to NT$ 5.307 billion (US$ 160.82 million), which is a negative growth of 7.33% over 2005? NT$ 5.726 billion (US$ 179.94 million).  Due to the significant decrease in large constructions in Taiwan, this line has suffered a notable reduction.  With the limited capacity in the reinsurance market, the key to increase business volume and effectively control the loss ratio is heavily dependent upon the professionalism and experience of the underwriters and marketing personnel. Union continues to attract and employ underwriters with construction and engineering background to enhance Union? competitiveness and professionalism in engineering insurance.

Union registered a premium income of NT$ 435 million (US$13.18 million) for 2006.  The budget for 2007 is projected modestly at NT$ 420 million (US$ 12.73 million).  Engineering insurance market is expected to have a rapid growth in the future as economic development stimulates the construction industry. 


Miscellaneous Insurance  TOP

Miscellaneous insurance excludes personal accident, but includes liabilities, credit and other products.  The range is wide including some 50 products, such as public liability, owner? liability, credit card and others.  In 2006, Union? premium totaled NT$ 491 million (US$ 14.88 million), a growth of 5% when compared to NT$ 469 million (US$ 14.63 million) in 2005.  The loss ratio in this class of business for 2006 was recorded at 33.63%.

Considering the vast scope that is covered under this line, the market potential is vast.  The key to remain competitive in this segment is in the importance of innovation in product development.  The budget for 2007 is NT$ 560 million (US$ 16.97 million).

 

 

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