BIZ BUZZ: Insurers feel market jitters

The weak peso, stock market jitters and stubborn inflation may be giving insurers a bit of a headache, as cash-strapped consumers think twice about buying financial protection.

Soon Liang Lau, president and CEO of FWD Life Insurance Corp., said rising living costs had weighed on demand for insurance products, particularly among lower-income customers.

Some businesses, meanwhile, have been tapping their insurance funds to keep their operations going in the second quarter, as high prices continued to squeeze their finances.

“Market-wise, yes, it’s slowed down,” Lau said.

But FWD is not leaving its clients out in the cold.

Lau said diversifying its products and investments had helped cushion customers from market swings, keeping their funds protected.

The insurer has also been reminding clients to maintain adequate insurance coverage even when they need to make withdrawals, so they do not leave themselves financially exposed.