Legal Insurance - Japan | Statista Market Forecast

The Legal Insurance market market in Japan is projected to reach a market size (gross written premium) of US$2.95bn in 2024.
In the same year, the average spending per capita in the Legal Insurance market market is expected to amount to US$24.02.
The gross written premium is projected to show an annual growth rate (CAGR 2024-2029) of 0.02%, resulting in a market volume of US$2.95bn by 2029.
When compared globally, the United States is expected to generate the highest gross written premium of US$31.0bn in 2024.
In Japan, the legal insurance market is experiencing a surge in demand due to the increasing awareness of the importance of legal protection among individuals and businesses.

Definition:

Legal insurance is a type of coverage that provides individuals and organizations with financial support for legal expenses. When you have legal insurance, you pay regular premiums, and in return, the insurer helps cover the costs of legal services, such as attorney fees and court-related expenses. This insurance is designed to make legal assistance more accessible and affordable, ensuring that policyholders have the necessary support when they encounter legal issues or require legal advice.

Additional information:

The market contains the following KPIs: gross written premium aggregated for all countries and regions, gross written premium per capita, and the share of insureds in the total population for over 50 countries.

Before-the-event legal protection insurance
After-the-event legal protection insurance

All other insurance types, such as life insurance and health insurance
Reinsurance

The Legal Insurance market in Japan has been witnessing significant growth and evolution in recent years.

Customer preferences: Customers in Japan are increasingly recognizing the importance of legal protection and are seeking insurance coverage to mitigate potential legal risks. With a growing awareness of legal rights and responsibilities, individuals and businesses are turning to legal insurance as a proactive measure to safeguard their interests.

Trends in the market: One notable trend in the Legal Insurance market in Japan is the rise of specialized insurance products tailored to specific legal needs. As the legal landscape becomes more complex, insurance providers are offering customized policies that cater to diverse requirements, such as employment disputes, property matters, and civil litigation. This trend reflects a shift towards personalized and comprehensive legal coverage in the market.

Local special circumstances: In Japan, the prevalence of alternative dispute resolution methods, such as mediation and arbitration, is influencing the Legal Insurance market. As these non-litigious approaches gain traction in resolving legal conflicts, insurance products that support such mechanisms are becoming more sought after. Additionally, the cultural emphasis on consensus-building and harmony in Japanese society is shaping the demand for legal insurance that promotes amicable resolutions.

Underlying macroeconomic factors: The economic landscape in Japan, characterized by a strong focus on risk management and compliance, is driving the growth of the Legal Insurance market. As businesses navigate regulatory challenges and seek to protect their assets, the demand for insurance coverage against legal uncertainties is on the rise. Moreover, the government's initiatives to enhance access to justice and legal services are creating a conducive environment for the expansion of legal insurance offerings 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.

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.