Life insurance - Georgia | Statista Market Forecast

The Life insurance market market in Georgia is expected to reach a market size (gross written premium) of US$1.26bn in 2024.
The average spending per capita in the Life insurance market market is projected to be US$340.30 in 2024.
With an annual growth rate (CAGR 2024-2029) of 4.14%, the gross written premium is anticipated to increase to US$1.55bn by 2029.
When compared globally, the United States is projected to generate the highest gross written premium of US$1.3tn in 2024.
Life insurance in Georgia is experiencing a surge in popularity due to the country's increasing awareness of the importance of financial protection and long-term planning.

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 Georgia has been experiencing significant growth and development in recent years.

Customer preferences: Customers in Georgia are increasingly seeking life insurance products that offer not only financial security but also investment opportunities. There is a growing demand for policies that provide a combination of protection and savings, reflecting a global trend towards holistic insurance solutions.

Trends in the market: One notable trend in the Georgian life insurance market is the rise of unit-linked insurance products. These products allow policyholders to invest in a variety of funds, providing them with the potential for higher returns compared to traditional life insurance policies. This trend aligns with a broader shift towards investment-linked products in insurance markets worldwide, driven by low interest rates and changing consumer preferences.

Local special circumstances: In Georgia, the relatively low level of insurance penetration compared to more developed markets presents both a challenge and an opportunity for life insurance companies. As awareness about the importance of insurance grows among the population, there is a significant potential for expansion in the market. Additionally, the regulatory environment in Georgia is becoming more favorable for insurance companies, encouraging innovation and competition in the sector.

Underlying macroeconomic factors: The overall economic growth and stability in Georgia play a crucial role in the development of the life insurance market. As the country continues to experience economic growth and rising income levels, more individuals are looking to secure their financial future through life insurance products. Moreover, the favorable demographic trends, such as an aging population and increasing middle-class segment, provide a conducive environment for the growth of the life insurance market in Georgia.

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.