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Insurance: Vietnam mandates fire and explosion insurance for 44 high-risk sectors from July 1

From July 1, 2025, Decree 105/2025/ND-CP will require 44 types of establishments at high risk of fire and explosion to purchase compulsory insurance. 

This includes apartment buildings, factories, and collective housing, VietnamNet has reported→view source.

Key details:

  • Funding mechanism: 2% of insurance premiums allocated to fire prevention; 65% for equipment, 15% for public education
  • Fire statistics (2024): 4,112 fires, 100 deaths, VND 657 billion (about US$25.3 million) in damage
  • Fires (first 4 months of 2025): 1,232 fires, 32 deaths, VND 205 billion (about US$7.9 million) in losses
  • Insurance coverage: Buildings, equipment, inventory; covers direct damage, optional business interruption
  • Insurer example: Bao Viet Insurance offers tailored packages, additional risk extensions, and incentives for early adopters

This comes after several high-profile fires in Vietnam, including the tragic 2023 mini apartment blaze in Hanoi that killed 56 people and the large textile factory fire in Binh Duong in 2024, highlighted serious gaps in fire safety standards. 

See also: Insurance in Vietnam 2025: Growth, Key Players & Regulations

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