Property Insurance - Japan | Statista Market Forecast

The Property Insurance market market in Japan is expected to reach a projected market size (gross written premium) of US$19.58bn in 2024.
In the same year, the average spending per capita in the Property Insurance market market is estimated to be US$159.70.
Looking ahead, the market is anticipated to demonstrate an annual growth rate (CAGR 2024-2029) of 0.56%, resulting in a market volume of US$20.14bn by 2029.
In comparison to other countries worldwide, the United States is projected to generate the highest gross written premium in the Property Insurance market market, amounting to US$240.4bn in 2024.
Japan's property insurance market is experiencing a surge in demand due to the country's high seismic activity and the need for comprehensive coverage against earthquake-related damages.

Definition:

The property insurance market encompasses insurance products that protect individuals and businesses from financial losses related to damage or loss of property, such as homes, commercial buildings, or personal belongings. Policyholders pay regular premiums to insurance providers, and in return, these insurers offer coverage for events like fire, theft, natural disasters, and other property-related risks. Property insurance is crucial for safeguarding assets and providing financial assistance to repair or replace property damaged or lost due to covered incidents.

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.

Insurance for all damage or loss of property caused by fire and natural forces
Insurance for all damage or loss of property caused by crime

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

The Property Insurance market in Japan is experiencing steady growth and development, driven by various factors shaping the industry landscape. Customer preferences in Japan are leaning towards comprehensive property insurance coverage that not only protects against natural disasters such as earthquakes and tsunamis but also covers damages from fire, theft, and other unforeseen events. Customers value the peace of mind that comes with knowing their properties are fully protected, leading to an increased demand for customized insurance products that cater to their specific needs. Trends in the market indicate a shift towards digitalization and technology integration in the property insurance sector in Japan. Insurers are increasingly leveraging data analytics, artificial intelligence, and machine learning to streamline processes, enhance customer experience, and assess risks more accurately. This trend is not only improving operational efficiency but also enabling insurers to offer more personalized products and services to their customers. Local special circumstances in Japan, such as the country's geographical location prone to natural disasters, play a significant role in shaping the Property Insurance market. The frequent occurrence of earthquakes and typhoons has heightened the awareness and importance of property insurance among Japanese residents. Insurers have responded by developing innovative products that provide comprehensive coverage against these specific risks, further driving the growth of the market. Underlying macroeconomic factors, including Japan's aging population and low interest rates, have also influenced the Property Insurance market. With an aging population, there is a growing need for insurance products that cater to the elderly demographic, such as specialized coverage for retirement homes and long-term care facilities. Additionally, low interest rates have prompted insurers to seek alternative revenue streams, leading to the introduction of new insurance products and investment strategies to remain competitive 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.

Berkshire Hathaway, State Farm, and Progressive Corp are just some of the biggest property and casualty insurance companies in the world - all of which hail from the United States. Property and casualty insurance is a type of insurance which covers risks related to loss or damage of property. This type of insurance has two major areas: protection of physical objects and protection against legal liability. In total, the value of gross premiums written by the U.S. property and casualty insurance sector exceeded 850 billion U.S. dollars in 2022. In the same year, 35 percent of the U.S. P&C premiums were written by private passenger auto insurance companies.