Non-life insurances - Chile

Chile

The Non-life insurance market in Chile is projected to reach a market size of US$5,872.00m in 2024, based on gross written premium.
In the same year, the average spending per capita in the Non-life insurance market is expected to amount to US$298.70.
Looking ahead, the gross written premium is anticipated to exhibit an annual growth rate of 3.76% between 2024 and 2028, resulting in a market volume of US$6,805.00m by 2028.
In a global comparison, the United States is expected to generate the highest gross written premium of US$3,371.0bn in 2024.
Chile's non-life insurance market is experiencing steady growth due to the increasing demand for property and casualty coverage.

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Analyst Opinion

The Non-life insurance market in Chile has been experiencing significant growth and development in recent years.

Customer preferences: Customers in Chile are increasingly seeking non-life insurance products that provide comprehensive coverage at competitive prices. With a growing awareness of the importance of insurance protection, there is a rising demand for policies that offer a wide range of coverage options, including property, health, and liability insurance.

Trends in the market: One notable trend in the non-life insurance market in Chile is the increasing adoption of digital channels for purchasing insurance products. Insurers are leveraging technology to streamline the insurance buying process, making it more convenient for customers to research, compare, and purchase policies online. Additionally, there is a growing trend towards customization, with insurers offering tailored solutions to meet the specific needs of individual customers.

Local special circumstances: Chile's non-life insurance market is also influenced by local regulations and market dynamics. The regulatory environment in Chile is conducive to the growth of the insurance sector, with clear guidelines and oversight that promote consumer trust. Additionally, the market is characterized by a high level of competition among insurers, driving innovation and product development.

Underlying macroeconomic factors: The growth of the non-life insurance market in Chile is supported by favorable macroeconomic conditions, including steady economic growth and a rising middle class with increasing disposable income. As the economy continues to expand, more individuals and businesses are looking to protect their assets and mitigate risks through insurance coverage. Moreover, the government's initiatives to promote financial literacy and insurance awareness are also contributing to the development of the non-life insurance market in Chile.

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.