THE PRIME MINISTER
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SOCIALIST REPUBLIC OF VIETNAM
Independence - Freedom - Happiness
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No.: 193/QD-TTg
Hanoi , February 15, 2012
 
DECISION
ON VIETNAM’S INSURANCE MARKET DEVELOPMENT STRATEGY IN THE 2011-2020 PERIOD
THE PRIME MINISTER
Pursuant to the December 25, 2001 Law on Organization of Government;
Pursuant to the Decree No.118/2008/ND-CP dated November 27, 2008 of the Government stipulating functions, duties and rights and organizational structure of the Ministry of Finance;
At the proposal of the Minister of Finance in the Report No. 110/TTr-BTC dated October 31, 2011,
DECIDES
Article 1. The Vietnam’s insurance market development strategy in the 2011-2020 period (hereinafter referred to as “the Strategy”) includes the following main contents:
I. OOBJECTIVES OF THE STRATEGY
1. General objectives
For development of the insurance market be in line with the orientation of socio-economic and national financial development in each period; ensuring the implementation of international commitments in which Vietnam is a member. For enhancing the safety, sustainability, the efficiency of the market and the ability to satisfy the diverse insurance demands of organizations and individuals; contributing to stabilize the economy and ensure social security. For accessing international standards and common practices on insurance business and gradually narrowing the development gap with other countries in the region.
2. Specific objective
a) Building system of mechanisms and policies on insurance business completely, transparently, equally and synchronously, facilitating the development of the market, ensuring the implementation of international commitment obligations of Vietnam.
b) Enhancing the safety of the system, operational efficiency and competitiveness of the insurance enterprises. Developing insurers which having a strong financial capacity, a governance capacity reaching international standards, operating effectively and having a capacity to compete actively at the domestic and regional markets.
c) Encouraging and supporting enterprises to diversify the insurance products, ensuring satisfying the diverse insurance demands of organizations and individuals. Facilitating organizations and individuals, especially low-income subjects, to take part in insurance.
d) Diversifying and professionalizing the insurance distribution channels, creating an effective bridge between insurers and their customers.
dd) Organizing the professional, modern and efficient management and surveillance of the market; strongly promoting the member role of the state management organs on insurance business at the ASEAN Insurance Managers Forum and the International Association of Insurance Supervisors; gradually comply with standards of insurance management and supervision issued by the International Association of Insurance Supervisors.
II. A NUMBER OF SPECIFIC TARGETS AND IMPLEMENTATION ROADMAP
1. Total revenue of the insurance industry will reach 2% - 3% of GDP by the year 2015 and 3% - 4% of GDP by the year 2020. 
2. The size of the insurance professional reserve funds for fulfillment of the obligations of insurance and compensation payment to customers will increase twofold by the year 2015 and 4.5 times by the year 2020 compared to that of the year 2010.
3. Total capital resources mobilized for the economy from the insurance enterprises increase 1.7 times by the year 2015 compared with that of the year 2010; increase 3.5 times by the year 2020 compared with that of the year 2010, equivalent to 3-4% of GDP