Life insurance - Moldova | Statista Market Forecast

The Life insurance market market in Moldova is expected to witness significant growth in the coming years.
By 2024, the market size, measured in terms of gross written premium, is projected to reach US$937.70m.
This indicates a positive trend in the demand for Life insurance market products in the country.
Furthermore, the average spending per capita in the Life insurance market market is estimated to be US$281.60 in 2024.
This figure highlights the willingness of individuals in Moldova to invest in Life insurance market policies for their financial security.
Looking ahead, the market is anticipated to experience a steady annual growth rate (CAGR 2024-2029) of 3.11%.
This growth trajectory is expected to result in a market volume of US$1.09bn by the year 2029.
These numbers demonstrate the potential for sustained expansion in the Life insurance market sector in Moldova.
In a global comparison, it is noteworthy that the United States is expected to generate the highest gross written premium in 2024, amounting to an impressive US$1.3tn.
This underscores the significance of the Life insurance market the United States and its dominant position on the global stage.
These figures highlight the promising prospects and potential opportunities for growth in the Life insurance market market in Moldova, while also providing a broader perspective on the global landscape of this industry.
Moldova's life insurance market is experiencing a surge in demand due to increasing awareness about financial security and the need for 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 Moldova has been experiencing notable developments in recent years.

Customer preferences: Customers in Moldova are increasingly recognizing the importance of financial security and protection, driving the demand for life insurance products. With rising disposable incomes and a growing awareness of the benefits of life insurance, individuals are more inclined to invest in policies that offer long-term financial stability for themselves and their families.

Trends in the market: One prominent trend in the Moldovan life insurance market is the shift towards digitalization. Insurers are leveraging technology to enhance customer experience, streamline processes, and offer innovative products tailored to the evolving needs of policyholders. Additionally, there is a noticeable trend towards customization, with insurance companies providing flexible options that cater to the diverse requirements of customers.

Local special circumstances: Moldova's unique demographic landscape, characterized by a relatively young population and increasing life expectancy, is influencing the dynamics of the life insurance market. As the population ages, there is a growing recognition of the need for retirement planning and protection against unforeseen circumstances, driving the demand for life insurance products.

Underlying macroeconomic factors: The economic stability and growth witnessed in Moldova are playing a pivotal role in shaping the life insurance market. A stable economy fosters consumer confidence and encourages investment in long-term financial instruments such as life insurance. Moreover, regulatory reforms and government initiatives aimed at promoting the insurance sector are creating a conducive environment for the expansion of life insurance in the country.

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.