Non-life insurances - Iceland | Statista Market Forecast

The Non-life insurance market in Iceland is expected to witness significant growth in the coming years.
By 2024, the market size, measured by the gross written premium, is projected to reach US$448.50m.
This indicates a strong potential for the insurance industry in the country.
Furthermore, the average spending per capita in the Non-life insurance market is estimated to be US$1.19k in 2024.
This figure reflects the willingness of individuals in Iceland to invest in insurance coverage to protect their assets and mitigate potential risks.
Looking ahead, the gross written premium is anticipated to exhibit an annual growth rate of -3.48% from 2024 to 2029, resulting in a market volume of US$375.80m by 2029.
This growth trajectory indicates a positive outlook for the Non-life insurance sector in Iceland.
In a global context, it is worth noting that the United States is projected to generate the highest gross written premium in the Non-life insurance market, amounting to US$2.5tn in 2024.
This reflects the size and maturity of the insurance industry the United States, making it a dominant player on the global stage.
Overall, the Non-life insurance market in Iceland is poised for growth, with promising market size projections and a strong per capita spending trend.
This underscores the importance of insurance coverage in protecting individuals and businesses in the country.
The non-life insurance market in Iceland is experiencing a surge in demand due to the country's high risk of natural disasters, such as volcanic eruptions and earthquakes.

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 Iceland has been experiencing notable developments in recent years.

Customer preferences: Customers in Iceland have shown a growing interest in non-life insurance products that offer comprehensive coverage and additional benefits. They are increasingly looking for customizable insurance plans that cater to their specific needs and provide a sense of security in various aspects of their lives.

Trends in the market: One noticeable trend in the Icelandic non-life insurance market is the increasing demand for digital insurance solutions. Customers are leaning towards online platforms for purchasing insurance policies, managing their accounts, and filing claims. This shift towards digitalization has prompted insurance providers to enhance their online presence and offer user-friendly interfaces to attract tech-savvy customers.

Local special circumstances: Iceland's unique geographical location and natural phenomena like volcanic eruptions and geothermal activities have influenced the non-life insurance market in the country. Insurance providers have tailored their offerings to include coverage for natural disasters, ensuring that customers are protected against unforeseen events specific to Iceland's environment.

Underlying macroeconomic factors: The stability of Iceland's economy and its steady growth have contributed to the development of the non-life insurance market. As the country's GDP continues to rise, individuals and businesses are more inclined to invest in insurance policies to safeguard their assets and mitigate risks. Additionally, favorable government regulations and a competitive insurance landscape have fostered innovation and product diversification in the market.

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.