Non-life insurances - Algeria

Algeria

The Non-life insurance market in Algeria is projected to reach a market size (gross written premium) of US$2,003.00m in 2024.
The average spending per capita in the Non-life insurance market is expected to amount to US$43.29 in 2024.
The gross written premium is projected to have an annual growth rate (CAGR 2024-2029) of 1.45%, resulting in a market volume of US$2,152.00m by 2029.
In global comparison, the United States is expected to generate the highest gross written premium of US$2,500.0bn in 2024.
Algeria's non-life insurance market is experiencing a surge in demand due to the increasing importance of risk management in the country's rapidly growing economy.

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Analyst Opinion

The Non-life insurance market in Algeria has been experiencing notable developments and trends in recent years. Customer preferences in the Algerian market are shifting towards more comprehensive insurance coverage, including property, health, and liability insurance. Customers are increasingly seeking tailored insurance solutions that provide them with a sense of security and protection against various risks. Trends in the market indicate a growing demand for non-life insurance products in Algeria. This trend can be attributed to increasing awareness about the importance of insurance, regulatory reforms promoting the insurance sector, and a rising middle-class population with higher disposable income. Additionally, the market is witnessing the entry of new insurance companies offering innovative products and services to cater to the evolving needs of customers. Local special circumstances, such as the Algerian government's efforts to promote the insurance sector and improve regulatory frameworks, are playing a significant role in shaping the non-life insurance market. The government's initiatives to enhance transparency, consumer protection, and market competitiveness are creating a more conducive environment for insurance companies to operate and expand their offerings. Underlying macroeconomic factors, including economic growth, stability, and investment in infrastructure projects, are also contributing to the development of the non-life insurance market in Algeria. As the economy continues to grow and diversify, there is a greater need for insurance products to mitigate risks associated with business operations, property ownership, and healthcare expenses. Overall, the Non-life insurance market in Algeria is poised for further growth and expansion, driven by evolving customer preferences, market trends, local special circumstances, and underlying macroeconomic factors.

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.