A1OnlineInsurance Company

Brazil has become the new investment destination for investors from all over the world and international players may find Brazil a promising venture since country's insurance market has showed a robust growth in recent times. The total premium has achieved by Brazilian insurance industry nearly 17.2 percent in the first half of 2007. This remarkable growth in Brazil insurance industry is noticed due to RNCOS a leading market research company to study the market comprehensively. Brazil insurance market consists of general insurance, life and retirement savings and auto insurance. The later two insurance terms forms the major component of Brazil insurance industries and give good results in near term RNCOS is an industry research firm incorporated in the year 2002 who analyze data collected from credible sources. Auto insurance is believed to maintain same kinetic energy in future due to rising level of car ownership in the Brazil country.

Major life insurance companies in Brazil are Santander insurance, Real Tokio Marine vida insurance, HSBC vida insurance, Itau vida insurance etc. Brazil non life insurance companies are Tokio marine insurance, AGF Brasil insurance, Sul America insurance etc.

Brazil auto insurance sector has shown rapid development in recent years. The net written premiums in 2002 are estimated to have totaled US $2.8 billion. This growth has increased due to car ownership, awareness of insurance as whole and legal changes within Brazil. Auto insurance in Brazil is provided for theft, collision and fire risks. Auto injury insurance system is run by the Federation of National private insurance and capitalization firms.

Auto insurance in Brazil includes 24 hour assistance, replacement in case of injury and loyalty discounts. Some insurance companies are now covering imported vehicles and corporate fleets. The potential for growth in Brazilian auto insurance sector is very significant. A large population growth makes Brazil the biggest potential insurance market in Latin America. There is considerable integration between insurers and banks. Most of the banks such as Banco Bradesco and Unibanco offer a full range of insurance services.

Financial institutions invest heavily in government securities. Brazilian insurance market has been expanding rapidly since 2003. Brazilian insurers prefer mutual funds as investment. Capitalization is a unique product which combines savings with national lottery. Home owner insurance is projected to grow nearly 14 % from 2007 to 2011 due to continuous decline interest rate in Brazil.Brazalian retirement savings and life insurance market is expected to grow at compound rate of 19 % during 2007 to 2011. Unlike Argentina and Mexico, development of Brazil insurance sector has not been suffered by rampant competition from the dynamic insurance companies of US. Brazil politics, economics and business environment have been moving in right direction.

Travel insurance and insurance through AIG travel guard provide helpful coverage for your trip. Travel insurance policies in Brazil has breakdown into three product categories such as Bundled Travel insurance policies, Custom travel insurance policies and Flexible travel insurance policies. In bundle travel insurance policy, most insurance salesmen try to sell you and it generally covers medical expenses, accidental death insurance, trip cancellation and theft of tourist belongings. Custom travel insurance for Brazil allows you to customize your travel insurance to cater for exact travel needs.

In flexible travel insurance plan, you may choose parts of bundled travel insurance that you want and reject that you do not want. This type of insurance policy is becoming more popular. Brazil has low rate of interest as compared to other countries. Its GDP is 2.3 % as compared to 7% in most of developed countries in 2001. The operations of insurance companies are supervised by Superintendence of private insurance. Brokers remain the main distribution channel for insurance in Brazil and accounting about 70% of sales. The remaining 30% of sales is contributed by sale of insurance through bank branches and direct marketing methods. An agent who working on behalf of the insurance company does not formerly exist although brokers have an ambiguous role.

In the early 1990's Brazilian insurance products are tended to be homogenous or pricing was regulated. Therefore, marketing was not considered so important. Due to growth of sector and competition began arriving from overseas; insurers have begun to play a crucial role. There are opportunities for insurers in the Brazilian market that have skills and experience in marketing insurance products or to improve practices in Brazil. There are opportunities for advertising firms and other suppliers' expert in marketing and distribution in participation in Brazil insurance sector.