Global Insurance Premiums to Reach $4.8 Trillion by 2010, According to New Report Collection by Global Industry Analysts, Inc.

Share Article

Global insurance premiums are projected to reach $4.8 trillion by 2010 banking upon the economic growth in emerging economies. A key focus for most insurance majors around the world are China and India, the two fastest growing economies, along with other emerging economies in Asia, Latin America, and Eastern Europe.

Insurance Industry: A Portfolio of Market Research Reports

The global Insurance Industry has registered a healthy growth over the last two years and this trend is further expected to continue. The global premium income for life insurance reached an estimated $2.4 trillion in 2007. The US accounted for a major share of over 29.5% of the total premium income reported worldwide in 2007. Risk management is emerging as the core enterprise-wide strategy of the insurance industry, calling for efficient capital allocation and risk integration.

With emerging economies charting out economically liberal regimes, insurance companies are traversing the regional frontiers to cash in on the opportunity and balance their regional risk portfolios.

Private health insurance, and disability plans are rising in popularity, given the growing cost of healthcare treatments, and rationalization of healthcare budgets by governments across the world. Emerging markets, with their low penetration rates, are expected to offer the highest growth opportunities in the near future.

According to newly launched research portfolio on Insurance Industry by Global Industry Analysts, Inc. (GIA), the global insurance industry is enthused by the uptick in new markets. US, Japan, and Europe have long been the trinity of the global economy. But the future will witness the emergence of Asia with opportunities in this continent acting as a counterweight to the mature business environment in established, and developed markets. With growth rates in Asia expected to hover over 13% for non-life insurance, and 11% for life insurance; India, China, South Korea, and Hong Kong, among others stand tall. Growth in these countries is powered by strong gains in GDP, dense population, rise in premium savings, and financial reforms involving deregulation and liberalization of foreign investments in regional insurance sectors. The vast percentage of uninsured and underinsured population also presents a powerful business opportunity for insurance companies worldwide. China, and India, which together account for about a third of global population contribute just about 3% to global insurance premiums. Insurance penetration (as a percentage of GDP) is very low in these fast growing economies, presenting a huge potential market. The amount spent on an average on insurance in China and India is presently less than $50 per year per person. Since the two countries are presently the drivers of the world economy, the insurance market in both the nations is witnessing the fastest growth rate.

Rapidly ageing population and provision for retirement is a growth-driving factor in the Asia-Pacific region. Economies that are well developed including South Korea, Singapore and Hong Kong are facing an immediate challenge due to the high proportion of elderly people.

Reflecting the level of market penetration within the Asia-Pacific insurance market, property and casualty insurance premium as a percentage of GDP ranges between 0.6% and 3.0%. Per capita premium in Hong Kong is highest at about US$580 and lowest in India at about US$5. Among major countries, India and China offer the highest growth potential for life insurance at about 20.7% and 16.2%, respectively. Growth in other major markets is expected to range between 7% and 9%, depending on each market's unique dynamics. It's a call for multinational companies to take on bigger risk profiles to tap into these promising markets by designing strategies tailored to each market's level of maturity.

"Insurance Industry: A Portfolio of Market Research Reports" published by Global Industry Analysts, Inc., discusses global companies like AIG, Aviva plc, ING Group, Allianz, Nippon Life, Swiss Re, Zurich Financial, Prudential plc, and Millea Holdings among several others. In addition to the global leaders, the report collection offers brief profiles of the dominating players in the US insurance market - Berkshire Hathaway, Cigna Corp, CNA Insurance, Chubb Corp, Standard Insurance, The Travelers Companies, and Fidelity National among others. DKV Deutsche of Germany, Coface of France, CGU Insurance of Australia and several other players are also discussed in the report collection. The study covers information about the world's leading insurance brokers - Senn Dunn Marsh & Roland, LLC, Wells Fargo, Jardine Lloyd Thompson Group, HBOS, Hilb Rogal & Hobbs, and Aon Corp among others. The study enumerates recent developments, mergers, acquisitions, and other strategic industry activities, and is an easy guide to What, Why, When, How, Where, and Who of the industry.

For complete description of the entire portfolio of Insurance Industry research reports, please visit

About Global Industry Analysts, Inc.
Global Industry Analysts, Inc., (GIA) is a reputed publisher of off-the-shelf market research. Founded in 1987, the company is globally recognized as one of the world's largest market research publishers. The company employs more than 700 people worldwide and publishes more than 880 full-scale research reports each year. Additionally, the company also offers a range of more than 60,000 smaller research products including company reports, market trend reports and industry reports encompassing all major industries worldwide.

Global Industry Analysts, Inc.
Telephone 408-528-9966
Fax 408-528-9977
Email press @
Web Site


Share article on social media or email:

View article via:

Pdf Print

Contact Author

Public Relations
Visit website