Life insurance - Australia & Oceania

Australia & Oceania

The Life insurance market market in Australia & Oceania is projected to reach a market size (gross written premium) of US$33.40bn in 2024.
On average, individuals in the region are expected to spend US$0.77k per capita in the Life insurance market market in the same year.
The market is projected to grow at an annual rate of 1.44% (CAGR 2024-2028), resulting in a market volume of US$35.36bn by 2028.
In comparison to other countries worldwide, the United States is anticipated to generate the highest gross written premium in the Life insurance market market, reaching US$1,271.0bn in 2024.
Australia is experiencing a growing trend in life insurance as consumers prioritize financial security and protection for their families.

Market

Region

Region comparison

Currency

Analyst Opinion

The Life insurance market in Australia & Oceania is experiencing significant growth and development. Customer preferences in the region are shifting towards more comprehensive life insurance coverage, including options for critical illness, disability, and retirement planning. Customers are increasingly looking for tailored insurance solutions that provide financial security for themselves and their families in the long term. Trends in the market show a rise in the adoption of digital channels for purchasing life insurance policies. Insurers are leveraging technology to streamline the application process, improve customer experience, and offer more personalized products. Additionally, there is a growing interest in sustainable and ethical investment options within life insurance policies, reflecting a broader global trend towards responsible investing. Local special circumstances in Australia & Oceania, such as the diverse regulatory environment across different countries in the region, are influencing the life insurance market. Insurers are navigating varying compliance requirements and consumer protection laws, which can impact product offerings and distribution strategies in each market. Additionally, the cultural diversity of the region presents opportunities for insurers to tailor their products to specific demographic segments. Underlying macroeconomic factors, such as population growth, increasing disposable income, and changing demographics, are driving the growth of the life insurance market in Australia & Oceania. As the middle-class population expands and aging populations seek financial protection, there is a growing demand for life insurance products that cater to different life stages and financial goals. Economic stability and regulatory reforms also play a crucial role in shaping the competitive landscape and market dynamics in the region.

Methodology

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.