Foreign insurers continue their exodus from Taiwan market-place

Taiwanese insurance industry reeling due to capital concerns

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Funding issues faced by the Taiwanese insurance sector due to its failure to address legacy problems of negative interest spread (where income earned on assets is lower than income promised on liabilities) look set to continue for the foreseeable future. And cash-strapped foreign insurance groups are pulling the plug on their ambitions in the country. Taiwan had the highest level of insurance penetration in the world in 2007, with the sector's aggregate premium contributing as much as 15.7% t