The sale of vehicles in Brazil continued its upward trajectory in August, providing reasons for insurers to celebrate.
Vehicle insurance is one of the main business segments for many Brazilian insurers.
In August, sales of passenger cars, light vehicles, bus and trucks rose by 14.3% month-on-month to 248,638 units, according to automobile dealers association Fenabrave. In the first eight months, vehicles sales increased 14.9% to 1.66mn units.
"Although the political landscape is undefined, which prevents us from having a clearer view of its effects on the economy in the coming months, the market has behaved as expected," said Alarico Assumpção Júnior, Fenabrave's president.
The October 7 general election is for president, state governors and legislators. There is great uncertainty surrounding the elections with presidential candidates who are in favor of more market-friendly reforms struggling in the polls.