Pre-need sales begin to show recovery signs
Manila Standard Today
by Jenniffer B. Austria
April 30, 2008
The local pre-need industry, which has been on a slump for several years now because of the financial problems suffered by several big companies, is finally showing signs of recovery.
Data from the Securities and Exchange Commission show that pre-need plans sold in March rose 21.4 percent 18,324 policies from 15,068 year-on-year, the first time this year that monthly sales climbed.
Philippine Federation of Pre-Need Companies Inc. president Juan Miguel Vasquez said he was confident the trend would continue in the coming months.
“There is no doubt that the industry would be able to recover. It’s just a matter to time,” Vasquez said.
Vasquez said pre-need companies were focused on taking care of their clients and making sure that they were paid premiums when the policies matured.
He noted that some pre-need companies had been selling pre-need policies abroad, with migrant Filipino workers as target.
Some pre-need firms have sent sales agents to Hong Kong and Singapore while others sell their products through distributorship.
“We are always hopeful that the trend would continue. But we are focusing on things we can control and that is taking care of our clients,” said Vasquez.
Sales of life plans in March soared by 160 percent to 12,953 from 7,305 on year, offsetting the decline in sales of education and pension plans.
Sales of education plans dropped 67.5 percent in March to 903 from a year ago of 2,785 plans while those pension plans declined 38.8 percent to 4,468 from 7,305.
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