Small and medium-sized enterprises (SMEs) account for more than 95% of all businesses in Vietnam, underscoring their pivotal role in the national economy. This dominance represents a significant growth opportunity for the country’s non-life insurance market. Yet, due to thin capital, limited resources, and a risk-averse mindset, many SMEs remain hesitant, often restricting their participation to mandatory products such as fire and explosion insurance or motor vehicle liability coverage, while voluntary policies attract far less attention.

The market dynamics, however, are beginning to change. In recent years, enterprises have faced mounting risks: natural disasters, fires, pandemics, and widespread supply chain disruptions. For many SMEs lacking insurance, these shocks have resulted in severe financial losses and prolonged recovery periods. Furthermore, deeper integration into global value chains has increased external requirements. Foreign partners increasingly demand proof of robust risk management, making comprehensive insurance policies indispensable, especially in export and logistics sectors. As a result, insurance is being redefined by SMEs—not as a cost burden, but as a shield safeguarding corporate survival.

To capture this segment, insurers are introducing customized products tailored for SMEs, with flexible structures and affordable premiums covering essential risks. At the same time, insurance brokers are emerging as vital partners. Beyond offering products, brokers act as risk advisors—helping SMEs evaluate needs, secure optimal pricing, and avoid both over-insurance and coverage gaps. They provide negotiation power that small firms typically lack and play a critical role during claims settlement, allowing SMEs to reduce administrative burdens and focus on business growth.

In an increasingly volatile economic environment, non-life insurance is no longer just a mechanism for risk transfer. It is evolving into a strategic investment that enhances resilience and ensures sustainable growth. For Vietnam’s SMEs, the adoption of non-life insurance marks a decisive step toward long-term competitiveness and financial security.