According to LIAM, the industry's overall new business sum assured also fell by 7.2 per cent to RM437.2 billion in that period from RM471.3 billion in 2019.
LIAM said the traditional policies’ new business sum assured improved by 7.2 per cent to RM23 billion in 2020. Its president Loh Guat Lan said this trend showed that during these unprecedented times, consumers were generally more mindful about their spending and tailoring their purchases to smaller traditional policies due to the COVID-19 crisis which might have affected their financial situation.
"A number of insurers introduced new plans with low premiums via the direct channel platform. Online products are available on respective insurers’ websites including medical insurance and critical illness protection plans,” he said.