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Fitch Ratings Ltd. has said in a new report that Malaysia's insurance and takaful sector will remain stable in 2016, supported by the sector's strong capitalization, reports The Star Online.
The rating agency said that strong capitalization will support premium growth and buffer against potential underwriting volatility as economic growth slows. Fitch believes that low insurance penetration and stable demand in the domestic market will continue to support the general insurance and takaful sectors in spite of slower premium growth in first half of 2015.