Life insurance - Burkina Faso

Burkina Faso

The Life insurance market market in Burkina Faso is expected to witness significant growth in the coming years.
According to projections, the market size, measured by gross written premium, is forecasted to reach US$0.55bn in 2024.
This indicates a positive trend in the demand for Life insurance market products among the population.
In terms of individual spending, the average per capita expenditure in the Life insurance market market is estimated to be US$23.10 in 2024.
This suggests that individuals in Burkina Faso are increasingly recognizing the importance of Life insurance market and are willing to allocate a portion of their income towards securing their future and protecting their loved ones.
Furthermore, the gross written premium is expected to exhibit an annual growth rate of 3.08% between 2024 and 2029.
This steady growth trajectory is projected to result in a market volume of US$0.64bn by 2029, indicating a sustained expansion of the Life insurance market industry in Burkina Faso.
In a global context, it is noteworthy that the United States is anticipated to generate the highest gross written premium in the Life insurance market market, amounting to US$1,288.0bn in 2024.
This highlights the significant scale of the market the United States compared to other countries.
Overall, the Life insurance market market in Burkina Faso is poised for growth, driven by increasing awareness and the rising importance of financial security among individuals.
Burkina Faso's life insurance market is witnessing a growing demand for policies that cater to the unique needs of its predominantly rural population.

Market

Region

Region comparison

Currency

Analyst Opinion

Over the past few years, Burkina Faso has witnessed a gradual but steady growth in its life insurance market.

Customer preferences: Customers in Burkina Faso are increasingly recognizing the importance of life insurance as a means of financial protection and long-term savings. With rising awareness about the benefits of life insurance, more individuals and families are seeking coverage to secure their financial future and provide for their loved ones in case of unforeseen circumstances.

Trends in the market: One noticeable trend in the Burkina Faso life insurance market is the introduction of innovative and tailored insurance products to cater to the specific needs of the local population. Insurers are developing products that are more affordable and accessible to a wider range of customers, making life insurance more inclusive and appealing to the general public. Additionally, there is a growing trend of partnerships between insurance companies and other financial institutions to reach more customers and expand the market reach.

Local special circumstances: The socio-economic landscape of Burkina Faso plays a significant role in shaping the life insurance market. The country's young and growing population presents a vast market opportunity for insurers to tap into. Moreover, the increasing urbanization and rising middle-class population are driving the demand for life insurance products as more people seek to protect their assets and secure their financial well-being.

Underlying macroeconomic factors: The stable economic growth and improving regulatory environment in Burkina Faso have created a favorable climate for the development of the life insurance market. As the country continues to strengthen its financial sector and enhance consumer protection measures, more insurers are entering the market and expanding their product offerings to meet the evolving needs of customers. Additionally, the government's efforts to promote financial literacy and inclusion are also contributing to the growth of the life insurance industry in Burkina Faso.

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.