Non-life insurances - Eastern Asia

The Eastern Asian market size (gross written premium) of the Non-life insurances market market is forecasted to reach US$678.90bn by 2024.
The average spending per capita in the Non-life insurances market market is projected to amount to US$415.30 in 2024.
Furthermore, the gross written premium is expected to exhibit an annual growth rate (CAGR 2024-2029) of 1.97%, resulting in a market volume of US$748.50bn by 2029.
When compared globally, the United States will generate the highest gross written premium of US$2.5tn in 2024.
The Non-life insurance market in Eastern Asia has seen a surge in demand due to the increasing urbanization and economic growth in countries like China and Japan.

Definition:

Non-life insurance, also known as general insurance, covers a wide range of insurance products that protect against financial losses related to events other than death. Non-life insurance is designed to provide policyholders with financial support and protection in various circumstances, like car accidents, property damage, and medical expenses.

Structure:

The non-life insurance market covers the following insurance types: health, motor vehicles, property, general liability, and legal.

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, and the loss ratio – calculated as gross claim payments divided by gross written premium.

Health insurances
Motor Vehicle insurances
Property insurances
General Liability insurances
Legal insurances

Live insurances
Other non-live insurances, such as travel insurance, freight insurance, and accident insurance
Reinsurance

The Non-life insurances market in Eastern Asia continues to experience significant growth and development. Customer preferences in the region are shifting towards more comprehensive insurance coverage, driven by increasing awareness of the importance of risk management and financial protection. Customers are seeking policies that offer a wide range of coverage options, including property, casualty, and health insurance, to safeguard their assets and well-being. Trends in the market vary across countries in Eastern Asia. For instance, in Japan, there is a growing demand for natural disaster insurance due to the frequent occurrence of earthquakes and typhoons. In South Korea, the non-life insurance market is witnessing a rise in cyber insurance policies as businesses prioritize protection against cyber threats. On the other hand, in China, the market is expanding rapidly with the government's push for universal insurance coverage and the increasing disposable income of the population. Local special circumstances play a significant role in shaping the non-life insurance market in Eastern Asia. For example, in Taiwan, the market is heavily influenced by the regulatory environment, with the Financial Supervisory Commission playing a key role in overseeing insurance activities. In Hong Kong, the market is characterized by strong competition among insurance providers, leading to innovative product offerings and competitive pricing strategies. Underlying macroeconomic factors such as economic growth, regulatory changes, and demographic shifts also impact the non-life insurance market in Eastern Asia. The region's rapid urbanization and increasing middle-class population are driving the demand for insurance products, while regulatory reforms are shaping the competitive landscape and market dynamics. Additionally, the growing digitalization and technological advancements are transforming the way insurance products are distributed and serviced 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.

Both the number and cost of global risks are rising due to drivers, such as climate change and cyber crime, and these trends are impacting in the insurance industry. The global insurance market was worth almost six trillion U.S. dollars in 2022, but this looks set to increase substantially in the coming years. Cyber crime is consistently seen as a leading risk to global business by risk management experts. Meanwhile, the cost of natural disaster losses rose over the past two decades. These risks are likely to grow in the future, which will sustain the growth of the insurance sector.