As insurance market expands, leading to higher levels of risk exposure, insurance regulators typically seek to strengthen overall solvency levels by increasing the minimum level of paid-up capital over time . for example, in recent years life insurance in Indonesia have been required to increase their paid-up capital from idr 40 billion (circa usd 3 million ) in 2010 to idr 100 billion (circa usd 8 million) by the end of 2014. Similarly, life insures in the philippines are also required to build up their statutory net worth on a staggered basis from php 250 million (circa usd 6 million) as at 30 june 2013 to php 1.3 billion (circa usd 29 million) as at 30 june2022