ASEAN Economic Community (AEC) Strategic Plan for 2026-2030

Dear Members of the Philippine Insurers and Reinsurers Association (PIRA),

We are writing to you to inform you of a significant development that will undoubtedly shape the future of our industry: the recently adopted ASEAN Economic Community (AEC) Strategic Plan for 2026-2030. This forward-looking roadmap, as detailed in the August 2025 "ASEAN for Business Bulletin," presents both unprecedented opportunities and new challenges that we must proactively address to ensure the continued growth and resilience of the Philippine non-life insurance sector.

The AEC Strategic Plan 2026-2030 is an ambitious framework designed to propel the ASEAN region towards becoming the world's fourth-largest economy by 2030. It builds upon the successes of the AEC Blueprint 2025, aiming for a more integrated, competitive, and sustainable economic community. The plan is structured around six strategic goals, including the creation of a single market and production base, fostering a sustainable and resilient community, and embracing digital transformation.

For the Philippine non-life insurance industry, this new strategic direction offers a multitude of benefits. The plan's emphasis on regulatory harmonization across ASEAN member states will be instrumental in reducing complexities and creating a more predictable business environment. This will facilitate easier cross-border operations and allow our members to explore new markets within the region with greater confidence.

Furthermore, the focus on a sustainable and resilient community opens up new avenues for product innovation. As the region grapples with the impacts of climate change, there will be a growing demand for insurance products that address climate-related risks. This presents a significant opportunity for our industry to develop and offer innovative solutions, such as parametric insurance for natural disasters, green building insurance, and coverage for renewable energy projects.

The AEC's commitment to becoming an enterprising, bold, and innovative community through digital and technological transformation is another key area of opportunity. The plan's emphasis on strengthening regional digital infrastructure and expanding connectivity will enable us to leverage technology to a greater extent. This includes the adoption of insurtech solutions for more efficient underwriting, claims processing, and customer service, as well as the development of digital insurance products tailored to the needs of a more connected and digitally savvy population.

As we navigate this evolving landscape, it is crucial to recognize the vital role that PIRA is playing in shaping our industry's trajectory. Through our active participation in the ASEAN Insurance Council (AIC) and its various committees, we are ensuring that the interests of the Philippine non-life insurance industry are well-represented in the regional discourse. Our engagement with the AIC allows us to contribute to the development of policies and standards that will govern the ASEAN insurance market, ensuring a level playing field and fostering an environment conducive to growth and innovation.

The AEC Strategic Plan 2026-2030 is not merely a policy document; it is a call to action. It is an invitation for us to collaborate, innovate, and seize the opportunities that lie ahead. Let us continue to work together, through PIRA and our engagement with the ASEAN Insurance Council, to build a more vibrant, resilient, and globally competitive Philippine non-life insurance industry.

Sincerely,

Mitch