Insurances

The Insurances market in Australia & Oceania is projected to reach a market size (gross written premium) of US$101.70bn in 2024.
Among the different segments of the market, Non-Life Insurances dominates with a projected market volume of US$69.53bn in 2024.
On average, each person in Australia & Oceania is expected to spend US$2.34k on Insurances market in 2024.
When compared globally, it is evident that the United States leads with the highest nominal value, reaching US$3.8tn in 2024.
The gross written premium is anticipated to demonstrate an annual growth rate (CAGR 2024-2029) of 2.70%, resulting in a market volume of US$116.20bn by 2029.
Once again, the United States is projected to generate the highest gross written premium in 2024, with a value of US$3.8tn.
The insurance market in Australia is experiencing a surge in demand for cyber insurance due to the increasing threat of cyber attacks.

Definition:

Insurance is a financial arrangement that provides individuals or businesses with protection against unexpected financial losses. In exchange for regular payments, known as premiums, an insurance policyholder is covered in case of specific events, such as accidents, illnesses, or damage to property. When a covered event occurs, the insurance company compensates the policyholder, helping them recover from the financial impact of the loss or damage. Gross written premium (GWP) is the main indicator of the insurance market. It is the total amount of money that an insurance company collects from policyholders for their insurance coverage before deducting expenses or commissions.

Structure:

The insurance market comprises life and non-life insurances. The non-life insurance market covers the following insurance types: health, motor vehicles, property, general liability, and legal.

Additional information:

The market contains the following KPIs: gross written premium aggregated for all countries and regions, gross written premium per capita, gross claim payments, loss ratio – calculated as gross claim payments divided by gross written premium, for selected European countries the distribution channels of insurance bookings, and the share of insureds in the total population for over 50 countries for live, health, motor vehicle, property, general liability, and legal insurances.

Life insurances
Non-life insurances

Some non-live insurances, such as travel insurance, freight insurance, and accident insurance
Reinsurance

The Insurances market in Australia & Oceania has been experiencing significant growth and development in recent years. Customer preferences in the region are shifting towards more personalized and comprehensive insurance coverage. With increasing disposable income and awareness about the importance of insurance, customers are seeking tailored solutions that meet their specific needs and provide them with a sense of security. Trends in the market indicate a rise in demand for digital insurance services, as customers look for convenience and accessibility. Insurtech companies are leveraging technology to offer seamless online platforms for purchasing policies, managing claims, and receiving customer support. This trend is driving competition in the market and pushing traditional insurance companies to innovate and digitize their services. Local special circumstances, such as the high frequency of natural disasters in the region, are also influencing the Insurances market in Australia & Oceania. The need for insurance coverage against natural calamities like bushfires, cyclones, and floods is prompting insurers to develop specialized products to address these risks. Additionally, regulatory changes and government initiatives to promote insurance penetration are shaping the market landscape in the region. Underlying macroeconomic factors, including stable economic growth, low unemployment rates, and a growing middle class, are contributing to the expansion of the Insurances market in Australia & Oceania. As the economy continues to prosper, more individuals and businesses are investing in insurance products to safeguard their assets and mitigate financial risks. This positive economic outlook is attracting both domestic and international insurance providers to the region, further fueling competition and innovation in the market.

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on gross written premium, gross written premium per capita, gross claim payments, loss ratio, and distribution channels.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market layer. As a basis for evaluating markets, we use industry associations, national statistic offices, and international organizations, such as OECD. Next we use relevant key market indicators and data from country-specific associations such as insurance consumer spending, gross domestic product, insurance - consumer price index (CPI), population growth. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, exponential trend smoothing and HOLT-linear. The main drivers are insurance consumer spending and insurance - consumer price index (CPI).

Additional Notes:

The market is updated twice per year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Financial market, in a PDF format.

Both the number and cost of global risks are rising due to drivers, such as climate change and cyber crime, and these trends are impacting in the insurance industry. The global insurance market was worth almost six trillion U.S. dollars in 2022, but this looks set to increase substantially in the coming years. Cyber crime is consistently seen as a leading risk to global business by risk management experts. Meanwhile, the cost of natural disaster losses rose over the past two decades. These risks are likely to grow in the future, which will sustain the growth of the insurance sector.