"We are not changing our 23-percent growth target for this year. We just have to let our staff work harder," Aon Asia Ltd. chairman and chief executive officer Bernard Fung said.
Fung said they might keep the same target for 2001 depending on the overall economic condition of the region.
He said they expect "flat" earnings for next year and in 2002 depending on their relationship with Ayala group.
"The way we are doing business with the Ayala group is good," the Aon Asia executive said, adding that partnership is a plus factor in the insurance business.
Small insurance companies should merge with big insurance firms, he said, citing that this the prevailing trend not only in the Asian region but also in the United States, United Kingdom and Europe.
"Globally this (mergers among insurance companies) is happening," he said. Fung pointed out that there is pressure to consolidate if the risks are great.
"If the risks are big, they should be bigger," Fung said, adding that mergers among insurance firms are expected to happen in a "continuous manner."
He said it would be healthy for the industry if the country has at least 10 to 12 big insurance companies.
Ayala Aon is a joint venture company Ayalas Corp. and Aon Corp., the world’s second largest insurance brokerage and risk management consultancy with $6.5 billion resources as of end-1998.
Ayala Aon specializes in global risk management services, commercial insurance brokerage, alternative risk management services, and employee benefits consultancy. – Donnabelle Gatdula