You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

January 22, 2019

Myanmar Government Requests Proposals from Insurers to Enter the Market

Subscribe to Updates

Following a recent announcement that Myanmar’s insurance market would soon open to foreign investment, on January 18, 2019, Myanmar’s Ministry of Planning and Finance issued a formal Request for Proposal (RFP) to life insurers, and Expression of Interest (EOI) Invitation Letters to life and non-life insurers, seeking to do business in Myanmar.

Life Insurers—Proposals for 100% Foreign Owned Company

The RFP is applicable only to life/composite insurers that intend to set up a 100% wholly-owned life insurance subsidiary in Myanmar. Three such licenses are available.

The RFP stipulates, inter alia, the proposal conditions, pre-licensing conditions, process for submission of proposals, licensing timeline, and the selection and evaluation criteria which must be strictly adhered to in order for a proposal to be valid.

The closing date for submission is March 1, 2019, but any requests for clarification of any of the points raised in the RFP must be sent by January 28, 2019.

Life and Non-Life Insurers—EOI in Forming a Joint Venture

The EOI invitation letters have been sent to local life and non-life insurance companies, inviting them to express their interest in forming a joint venture with a foreign insurer that has a local representative office in Myanmar (as of December 31, 2018). JV partnership is exclusive for both the foreign applicant and the local partner, who may only enter into one such JV each. However, applicants do not need to have already secured a prospective joint venture partner in order to submit an EOI.

The EOI invitation letters include an EOI form and a list of accompanying documents that must be completed and submitted by February 11, 2019.

It is important to note that applicants are allowed to respond to either the RFP or an EOI invitation letter, but not both at the same time. However, those who are unsuccessful in the RFP process may later be offered an opportunity to submit an EOI.

For more information, and for assistance with preparing an EOI or RFP in compliance with the criteria in the announcement, please contact Tilleke & Gibbins Myanmar at [email protected].

Related Professionals

Industries

Insurance

Location

RELATED INSIGHTS​ 

April 29, 2025
On April 11, 2025, Thailand’s Office of Insurance Commission (OIC) released draft principles for two notifications for public comment, open until the end of April. These aim to amend the OIC Notifications on Guidelines for Customer Personal Data Protection for life and non-life insurance businesses, which were issued in 2021. Key Principles Both life and non-life insurance companies will be required to obtain consent for the following processing activities: Processing of general personal data: When requesting the OIC to disclose information related to a customer’s insurance policy for the purpose of underwriting or claims consideration. Processing of sensitive personal data: When requesting the OIC to disclose information related to a customer’s insurance policy for the purpose of underwriting or claims consideration; and When requesting the OIC to disclose information about a customer’s insurance fraud behavior for fraud monitoring, fraud risk management, and assessing and preventing insurance fraud risk for underwriting or claims payment. The consent for the above processing activities must be in accordance with the consent requirements prescribed by the OIC, and the disclosure of personal data must also comply strictly with the conditions set by the OIC. Life insurance companies may obtain consent for other purposes as long as they comply with Thailand’s Personal Data Protection Act B.E. 2562 (2019), and companies will be liable in the event of a personal data breach. Additional Principles for Non-Life Insurance Businesses Non-life insurance companies will be required to provide a privacy notice and a summary of the privacy notice for each type of insurance policy in accordance with the form prescribed by the OIC. The privacy notice and its summary must be provided prior to or at the time of offering insurance policies, or together with the consent form for data processing through any channels used for offering insurance.
Read More
April 1, 2025
The collapse of a building under construction in Bangkok on March 28, 2025, following a powerful earthquake in Myanmar has sparked widespread public concern about the potential financial impact on local insurers and insurance implications. The construction site was insured under a contractors’ all risks (CAR) policy, and initial reports and market speculation suggest that the event could cause serious financial strain for the domestic insurance industry. Nevertheless, local insurers connected to the site of the collapse may face limited exposure for two main reasons: Reinsurance significantly mitigates local insurers’ exposure. According to market sources, 95% of the CAR coverage for the construction site was reinsured by foreign reinsurers. This is standard risk-management practice for large-scale infrastructure and construction projects, allowing local insurers to participate in underwriting while transferring most of the liability offshore. As a result, the direct financial impact on domestic insurers is expected to be minimal, subject to the reinsurance contracts and any potential claims disputes. Potential exclusions may apply. The Thai General Insurance Association has issued an interim public advisory noting that coverage under the CAR policy may be limited or excluded altogether, pending a full investigation. CAR policies often contain exclusions for certain events, depending on how the policy is worded and the actual cause of the incident. A thorough factual and forensic investigation will be necessary to determine the true cause and assess policy applicability. For further information or assistance in reviewing CAR or project insurance coverage in Thailand, please contact Athistha (Nop) Chitranukroh at [email protected], Witchupong Chittchang at [email protected], or Ajaree Trachukul at [email protected].
Read More
December 10, 2024
Thailand’s Ministry of Finance (MOF) has issued a new notification easing foreign shareholding and board limits for life insurers. This long-awaited update aligns with the draft notification that was previewed in May 2024, and reflects the MOF’s intention to enhance the stability and competitiveness of life insurers. Life Insurer Qualifications Life insurers may apply for permission to exceed 49% foreign shareholding or have a majority of foreign directors if: The life insurer operates in a manner that could harm the insured or the public, and either (1) the OIC has directed the company to improve its status or adjust its capital, or (2) the company’s actions may have a significant impact on the insurance industry, causing significant compensation burdens and affecting the company’s capital adequacy ratio (CAR); The life insurer’s shareholders are unable to increase capital; and The life insurer is unable to attract Thai investors to increase the capital necessary to ensure stability and the long-term operation of the business. Foreign Shareholder Qualifications To qualify, foreign shareholders must: Either be an insurance company or have at least 10 years of relevant experience in the insurance industry; Demonstrate financial stability and possess a credit rating (or have a parent company with a credit rating) of at least “A” from a reputable credit rating agency; Present a clear and comprehensive business plan to develop and promote the company’s efficiency and competitiveness in the industry; and Be able to make an investment that increases the company’s capital by at least THB 2 billion to maintain stability with a CAR of at least 250%. For more details on the MOF’s notification regarding criteria on foreign shareholding limits for life insurance companies, or on any issue concerning insurance regulations in Thailand, please contact Athistha (Nop) Chitranukroh at [email protected], Witchupong Chittchang at [email protected], Ajaree
Read More
December 6, 2024
Thailand’s Office of Insurance Commission (OIC) recently announced two Notifications regarding Timeframe Standards for Service Level Agreements, for both life and non-life insurance companies. Under these notifications, every insurance company is required to set out clear and specific timeframes in its service level agreement (SLA) for at least the following activities: Providing information about life and non-life insurance and offering insurance policies; Underwriting and providing after-sales services; Paying compensation under the insurance policy; and Handling complaints. The timeframes described in the SLA must not exceed those specified in the insurance policy or by the relevant laws, and the SLA (which must be published on the insurer’s website) must be continually updated to reflect any changes in the timeframes. Insurance companies are required to disclose the standard timeframes for SLAs on their website by January 1, 2025, and notify the OIC through the channels and methods specified by the OIC. For more details on the OIC’s notifications on SLA timeframe standards, or on any aspect of insurance regulations in Thailand, please contact Athistha (Nop) Chitranukroh at [email protected], Witchupong Chittchang at [email protected], Ajaree Trachukul at [email protected], Thammapas Chanpanich at [email protected], or Sireethorn Wijan at [email protected].
Read More