Myanmar Insurance (MI) signed a Memorandum of Understanding (MoU) with Japan, Germany and Malaysia to cooperate on insurance services for the construction of one million housing units to be developed by the Ministry of Construction, at Myanmar Insurance on August 28.
Dr Sandar Oo, Managing Director of Myanmar Insurance said: “The country needs to develop housing projects. Insurance companies will help people own apartments. The government will develop one million apartments. State-owned Myanmar Insurance will offer insurance services to those who want to buy apartments. They will have to pay money in installments to buy the apartments. If the main breadwinner unfortunately dies while still paying for the apartment and he or she becomes disable forever, Myanmar Insurance will continue paying money to insured companies. They will have the ownership of apartment.”
Detail discussions are being made on premium rate, loan amount and compensation plan, she added.
DI Tokyo from Japan will grant loans to house buyers via the Construction and Housing Development Bank (CHDB).
“This is the first of its kind for the housing project. As the MI has at the high risk for one million apartment project, it has to buy insurance from Germany. The Malaysian company will calculate the risks of projects. The MI will implement it as quickly as possible,” she continued.
The MoU signing with foreign insurance companies will contribute a lot to the country’s economic development and housing ownership of people.