TOKYO -- Dai-ichi Life Insurance will become the first Japanese life insurer to establish a presence in Cambodia, setting up a representative's office in the capital Phnom Penh this month.
Dai-ichi plans to assess potential profitability in the Southeast Asian country and start selling life insurance policies as soon as next fiscal year, which begins in April.
The insurer is also eyeing the Indian market, where it has decided to raise its stake in a local joint venture from 26% now to 44% by the end of the year. The joint venture was established in partnership with the Bank of India and others.
Dai-ichi's domestic rivals, such as Nippon Life Insurance and Sumitomo Life Insurance, are also stepping up efforts to cultivate the Asian market.
Data by Swiss Re Group shows that the insurance penetration rate, which is the gross value of insurance premiums as a percentage of gross domestic product, comes to 10.8% for Japan. The figure is much lower in other Asian countries, at 3.3% for India and 1.7% for Indonesia.