Thai Insurance Sector Faces Billion-Baht Losses After Earthquake-Induced Building Collapse
Bangkok (The Nation Thailand) – The Thai insurance sector is assessing damages exceeding one billion baht following the collapse of a partially constructed State Audit Office (SAO) building due to the recent earthquake that struck Myanmar on March 28, 2025.
The 33-story SAO building, which was about 30% complete with a construction budget of 2.136 billion baht, suffered catastrophic structural failure. The building was insured under a Contractor All Risk (CAR) policy with a total sum insured of 2.241 billion baht. The policy was shared among four insurers: Dhipaya Insurance (40%), Bangkok Insurance (25%), Southeast Insurance (now Indra Insurance) (25%), and Viriyah Insurance (10%).
Apisit Anantanatarat, President of Bangkok Insurance, confirmed that the Office of Insurance Commission (OIC) and the involved insurers have dispatched a specialist team to conduct a thorough damage assessment. Beyond the SAO building, insurers are preparing to handle claims from other affected properties, including high-rise buildings, offices, condominiums, hospitals, and vehicles across Bangkok and other major cities. Industry experts anticipate that a clearer picture of the overall insurance market impact will emerge within the coming week.
The Secretary-General of the OIC, has urged insurers to be fully prepared for claims arising from the earthquake. The Thai General Insurance Association has also advised policyholders in affected areas to check their policies for earthquake coverage and file claims promptly.
To assist affected individuals and businesses, the Thai General Insurance Association has established a coordination center to provide guidance on claim processes and policy inquiries. They are also educating policyholders on earthquake coverage across various insurance types, including motor, residential fire, commercial fire, industrial all risk, contract work, and public liability policies.