Life insurance - EAEU | Statista Market Forecast

The Life insurance market market in the EAEU is projected to reach a market size (gross written premium) of US$16.85bn by 2024.
On average, individuals in the EAEU are expected to spend US$92.12 per capita on Life insurance market in 2024.
The market is anticipated to grow at an annual rate of (CAGR 2024-2029), resulting in a market volume of US$16.85bn by 2029.
In terms of global comparison, the United States is expected to generate the highest gross written premium of US$1.3tn in 2024.
The life insurance market in EAEU is experiencing a surge in demand due to increasing awareness about the importance of financial security and protection.

Definition:

Life insurance is a type of financial product that provides financial security for individuals and their families. In simple terms, when you buy a life insurance policy, you pay regular premiums to the insurance company. In return, if you were to pass away while the policy is in effect, your designated beneficiaries receive a lump sum payment, known as the death benefit, which can help them cover living expenses and financial needs. Life insurance is designed to provide peace of mind and support for loved ones in the event of the policyholder's death. 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.

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, and the share of insureds in the total population for over 50 countries.

Death benefit insurance
Endowment insurance
Disability insurance
Dowry insurance
Birth insurance
Term life insurance
Whole life insurance
Universal life insurance
Burial insurance
Other types of life insurance

Health Insurance
All non-life insurance types
Reinsurance

The Life insurance market in EAEU is experiencing significant growth and development, driven by various factors shaping customer preferences, market trends, local special circumstances, and underlying macroeconomic factors.

Customer preferences: Customers in the EAEU region are increasingly seeking life insurance products that offer comprehensive coverage and financial security for themselves and their families. There is a growing demand for customizable policies that cater to individual needs and provide additional benefits such as investment opportunities or retirement planning options.

Trends in the market: One of the prominent trends in the EAEU life insurance market is the shift towards digitalization and online distribution channels. Insurers are leveraging technology to reach a wider customer base, streamline policy issuance processes, and enhance overall customer experience. Additionally, there is a trend towards product innovation, with insurers introducing new and specialized life insurance products to meet evolving customer needs.

Local special circumstances: The EAEU region comprises countries with diverse cultural and regulatory landscapes, influencing the life insurance market dynamics in each country. For instance, some countries may have higher levels of insurance penetration and awareness, leading to more mature markets, while others may be experiencing rapid growth and market expansion. Local regulations and tax incentives also play a crucial role in shaping the life insurance industry in the region.

Underlying macroeconomic factors: Economic stability, population demographics, and income levels are key macroeconomic factors driving the growth of the life insurance market in the EAEU region. As economies in the region continue to develop and incomes rise, there is a greater propensity for individuals to invest in life insurance products as a means of long-term financial planning and wealth protection. Moreover, favorable demographic trends such as an aging population and increasing life expectancy contribute to the growing demand for life insurance coverage in the region.

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.

The biggest life insurance market globally is the United States, and it was almost twice as large as the second-biggest market, China. People take out life insurance to financially support their loved ones after their death. The payout is often used to cover funeral expenses, replace income earned by the deceased, or pay for children's education. It can be paid out in a lump sum or as an annuity, which is paid in regular installments for either a specified time or for the lifetime of the beneficiary. In 2022, the United States was the leading life insurance premium writing country, with a total value of life direct premiums written exceeding 600 billion U.S. dollars. The second and third-largest life insurance markets were China and the United Kingdom, respectively.