Non-life insurances - New Zealand

The Non-life insurances market market in New Zealand is projected to reach a market size (gross written premium) of US$5.75bn by 2024.
The average spending per capita in the Non-life insurances market market is expected to amount to US$1.09k in 2024.
The gross written premium is projected to show an annual growth rate (CAGR 2024-2029) of 2.66%, resulting in a market volume of US$6.56bn by 2029.
In global comparison, the United States is expected to generate the highest gross written premium of US$2.5tn in 2024.
The non-life insurance market in New Zealand is experiencing a surge in demand due to increased awareness of the importance of protecting assets and properties.

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

Over the past few years, the Non-life insurances market in New Zealand has been experiencing steady growth and development.

Customer preferences: Customers in New Zealand are increasingly seeking non-life insurance products that provide comprehensive coverage and tailored solutions to meet their specific needs. With a growing awareness of the importance of insurance protection, there is a rising demand for innovative and customizable non-life insurance products in the market.

Trends in the market: One of the key trends shaping the non-life insurance market in New Zealand is the increasing adoption of digital technologies. Insurers are leveraging digital platforms to enhance customer experience, streamline processes, and offer online insurance solutions. Additionally, there is a growing focus on sustainability and climate change resilience, leading to the development of insurance products that address environmental risks and promote sustainable practices.

Local special circumstances: New Zealand's unique geographic location and exposure to natural disasters such as earthquakes, floods, and storms have a significant impact on the non-life insurance market. Insurers in the region are continuously innovating their products to provide comprehensive coverage against natural disasters and other unforeseen events. The presence of a well-established regulatory framework also plays a crucial role in shaping the non-life insurance landscape in New Zealand.

Underlying macroeconomic factors: The stable economic growth, low unemployment rate, and increasing disposable income levels in New Zealand are driving the demand for non-life insurance products. As consumers become more financially conscious and risk-aware, there is a growing inclination towards securing their assets and belongings through various non-life insurance policies. Moreover, the government's initiatives to promote insurance literacy and awareness are further fueling the growth of the non-life insurance market 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.