Saturday 16 January 2021

Costa Rica’s State Insurer Loses Market Share

The Instituto Nacional de Seguros (INS) loses dominance in the health insurance sector since the opening of the insurance market in Costa Rica in 2010

For the first time since the opening of the insurance market in 2010, the State insurer, the Instituto Nacional de Seguros (INS), has lost its dominance in the health insurance segment, which is now led by Pan American Life Insurance.

Pan American Life took 40% of the revenues generated by sales of medical insurance policies at the end of June this year.

According to data from the Superintendencia General de Seguros (Sugese) – Insurance Superintendency – the INS accounted for 38% of the business, followed by Aseguradora del Istmo (Adisa) with 6% and the first time the State company cedes majority ownership in a branch of this business in Costa Rica.

- Advertisement -

Between January and June of this year, revenues from the sale of health insurance policies totaled US$76 million, an increase of 19% over the first half of last year. Nacion.com reported that “… Health policies are part of the voluntary insurance segment, an area in which there is a group of 13 competing companies.”

Elian Villegas, executive president of the INS, confirmed that “… the health insurance business has been completely reformed, due to a cumulative loss of US$50 million in the period from 2012 to 2016. ´In this line, we were losing a lot of money. We had to make a decision if we kept market share and lost US$10 million a year, or we changed the product. In the end, we modified the policy’.”

Distribution of the health insurance market in Costa Rica according to the Sugese as of June 2017

At Comercial de SM Seguros (Seguros del Magisterio), general manager Carlos Jiménez said that in health insurance there is a strong growth option, faced with many medical needs unsatisfied by the State social security, the Caja Costarricense de Seguro Social (CCSS) or Caja.

“Given that the Caja provides appointments in the very long term and people require more accessible and immediate medical services, is why they are looking for new alternatives,” said Jiménez.

- Advertisement -

Manuel Salazar, manager of BlueCross BlueShield (Triple-s), commented that the INS remains a major player in the health insurance segment.

“We seek to strengthen the offer of health insurance to fit the budget and the needs of the local market,” said Salazar.

Triple-S had 2.8% of the health premium market in June 2015, growing to 5% this year, according to Sugese.

- Advertisement -

FACT CHECK:
We strive for accuracy in its reports. But if you see something that doesn’t look right, send us an email. The Q reviews and updates its content regularly to ensure it’s accuracy.

Ricohttp://www.theqmedia.com
"Rico" is the crazy mind behind the Q media websites, a series of online magazines where everything is Q! In these times of new normal, stay at home. Stay safe. Stay healthy.

Related Articles

Private sector offers 1,200 pharmacies to expedite vaccination against Covid-19

QCOSTARICA - To streamline the process, the 1,200 private pharmacies in...

58 years and older would receive a vaccine in the second trimester

QCOSTARICA - It will be after March when the vaccination against...

MOST READ

Ortega Regime Promises Vaccines, with No Details

TODAY NICARAGUA – Former Nicaraguan health minister and current presidential advisor Carolina Davila has announced that COVID-19 vaccinations will begin in 2021. Her announcement...

Costa Rica recovers air routes, but international tourism remains lukewarm

QCOSTARICA - The country recovered most of the air routes that were frozen due to the Covid-19 pandemic, confirming the return of 17 international...

People over 80 will be a priority in the second stage of vaccination against covid-19

QCOSTARICA - When Costa Rica begins covid-19 vaccination of group 2, of those 58 years old and over, priority will be given to those...

New criteria for calculating VAT in outsourcing services could raise costs

Businesses that outsource services must collect the VAT (Value Added Tax) from their clients on the total amount of the service and not only...

Nicaragua’s international airport with only one airline

TODAY NICARAGUA – The Augusto C. Sandino International Airport (MGA) suffered this month the loss of one of the only two airlines currently serving...

Let's Keep This Going!

To be updated with all the latest news and information about Costa Rica and Latin America.

Log In

Forgot password?

Forgot password?

Enter your account data and we will send you a link to reset your password.

Your password reset link appears to be invalid or expired.

Log in

Privacy Policy

Add to Collection

No Collections

Here you'll find all collections you've created before.