Non-life insurances - Philippines

Philippines

The Non-life insurance market in the Philippines is projected to reach a market size (gross written premium) of US$8.20bn in 2024.
The average spending per capita in the Non-life insurance market is estimated to be US$68.82 in 2024.
It is expected that the gross written premium will experience an annual growth rate (CAGR 2024-2028) of 3.34%, leading to a market volume of US$9.35bn by 2028.
In comparison to other countries, the United States is anticipated to generate the highest gross written premium, amounting to US$3,371.0bn in 2024.
The non-life insurance market in the Philippines is experiencing significant growth due to increasing awareness and demand for coverage against natural disasters and accidents.

Market

Region

Region comparison

Currency

Analyst Opinion

Over the past few years, the Non-life insurances market in Philippines has been experiencing significant growth and development.

Customer preferences: Customers in the Philippines are increasingly looking for comprehensive non-life insurance coverage that provides protection against various risks such as natural disasters, accidents, and health issues. There is a growing demand for customized insurance products that cater to specific needs and preferences of the customers.

Trends in the market: One of the key trends in the Non-life insurances market in Philippines is the digital transformation of the industry. Insurers are leveraging technology to streamline processes, enhance customer experience, and offer innovative insurance products. Additionally, there is a trend towards sustainable and environmentally friendly insurance solutions in response to the increasing awareness of climate change and its impact on the country.

Local special circumstances: The geographical location of Philippines makes it prone to natural disasters such as typhoons, earthquakes, and floods. This unique circumstance has led to a higher demand for property and casualty insurance coverage among the population. Additionally, the regulatory environment in Philippines is evolving, with the government implementing measures to enhance the stability and competitiveness of the insurance market.

Underlying macroeconomic factors: The economic growth and increasing disposable income in Philippines have contributed to the expansion of the Non-life insurances market. As more individuals and businesses seek to protect their assets and investments, the demand for non-life insurance products continues to rise. Moreover, the growing awareness of the importance of insurance as a risk management tool has also fueled the market growth.

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.