The Insurance Authority (IA) of Hong Kong has voiced its support for a newly launched initiative targeting the silver economy, highlighting both the sector’s relevance to aging populations and the potential for regional collaboration.
The initiative, introduced by the Working Group on Promoting Silver Economy, included a series of proposals designed to strengthen financial and healthcare infrastructure to accommodate the city’s growing elderly demographic.
IA chairman Stephen Yiu noted that the longevity of Hong Kong’s population presents both economic opportunities and new demands for services.
“Hong Kong values the longevity of its indigenous population, but we must also grapple with the rising demand for social support and medical services which it brings. Apart from encouraging our citizens to draw up and implement a retirement plan in good time, the Working Group has formulated effective and pragmatic measures that leverage changing demographics to spur economic growth,” he said.
He added that the IA is in discussion with insurers that have the capacity to develop accessible products enabling residents to utilise care services in cities across the Greater Bay Area (GBA).
Earlier this year, during the Asian Financial Forum, the IA hosted a panel session titled “Navigating the Silver Economy,” drawing attention to how aging across Asia – particularly in the GBA – affects insurance strategy.
Participants included insurance executives and academic researchers, who reviewed population trends, market gaps, and cross-jurisdictional product development.
Clement Lau, the IA’s executive director for policy and legislation and moderator of the panel, emphasised the sector’s broader responsibilities.
“By providing the much-needed coverage and support, the insurance sector can play a vital role in alleviating pressing issues faced by the elderly community as well as in driving [the] silver economy,” he said.
The session discussed how collaboration between Hong Kong, Macao, and mainland GBA cities could streamline access to cross-border insurance offerings and services.
Lau also pointed to a need for greater industry alignment beyond insurance providers.
“With enhanced connectivity within the Guangdong-Hong Kong-Macao Greater Bay Area (GBA), there is also immense potential for our insurance industry to collaborate with other sectors to serve the region at large,” he said.
The forum addressed the importance of boosting consumer knowledge around insurance and retirement savings, with participants citing this as essential for building financial resilience amid an aging trend.
Separately, the IA recently welcomed recent legislative approval of the Companies (Amendment) (No. 2) Bill 2024.
The bill establishes a formal mechanism for firms seeking to re-domicile to Hong Kong, a move expected to benefit foreign insurers with significant local operations.
IA CEO Clement Cheung said the new law reflects market demand and reinforces Hong Kong’s strategic value.
“The Amendment Bill is eagerly awaited by authorised insurers incorporated outside Hong Kong but with a prominent local presence. Their choice of Hong Kong as home base fully reflects the strengths and allure of our market driven by connectivity among cities in the Guangdong-Hong Kong-Macao Greater Bay Area,” he said.
The IA plans to coordinate with industry and regulatory counterparts to help insurers navigate the new regime.
