Congreso Seguros 2016

Costa Rica: a market to explore!

Costa Rica is executing a strategy to open up its country and has signed Free Trade Agreements (FTA) with Central America, Canada, CARICOM, Chile, China, the Dominican Republic-Central America-United states (CAFTA-DR), Mexico, the Dominican Republic, Peru, Singapore, the European Free Trade Association, and an Association Agreement between Central America and the European Union. Currently, an FTA agreement with Colombia is in the legislative process.

According to the Global Competitiveness Report 2015 (CLACDS-INCAE) on the region, Costa Rica is positioned as the third most competitive country in the region, after Chile and Panama.

The country offers an excellent scenario for investments and for major international companies to set up business, thanks to the population’s renowned academic level, the good standard for modern services and its socio-political stability. In 2014, Direct Investment was US $2,105.9 and became, along with tourism, the main revenue source

Population 4.832.234 Interanually
GDP 3,50 %
Per Capita GDP 10.035$
Trade Balance 5.934,3 billion $
Inflation 5,10 %
Cell Phone penetration per 100 inhabitants 149 %

An incipient insurance market in competition

After 8 decades of state monopoly, the insurance market in Costa Rica was opened up in 2008 with the promulgation of the Insurance Market Regulatory Law.

Based on this law, the number of players increased. Today we have a more dynamic insurance market with a booming growth outlook in an open country with major advantges for the insurance business.

Insurance Companies 13
Brokerage Companies 21
Brokers 296
Total Premiums US$ 1.167,4 billion
Personal Insurance 289 million US (25%)
General Policies 513,9 million US (44%)
Mandatory Policies 364.4 million US (31%)
Premiums Per Capita 238,20 US

*As of december 2014