Property Insurance - Pakistan | Statista Market Forecast

The Property Insurance market market in Pakistan is projected to reach a market size (gross written premium) of US$1.51bn in 2024.
The average spending per capita in the Property Insurance market market is expected to amount to US$6.17 in 2024.
Furthermore, the gross written premium is anticipated to exhibit an annual growth rate (CAGR 2024-2029) of 2.65%, resulting in a market volume of US$1.72bn by 2029.
In comparison to other countries, the United States is set to generate the highest gross written premium of US$240.4bn in 2024.
Despite a growing property insurance market in Pakistan, challenges remain in ensuring widespread coverage and affordability for the majority of the population.

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 Pakistan has been experiencing significant growth and development in recent years. Customer preferences in the Property Insurance market in Pakistan are shifting towards comprehensive coverage that not only protects against natural disasters but also includes coverage for theft, fire, and other potential risks. Customers are increasingly looking for customized insurance solutions that cater to their specific needs and provide peace of mind. Trends in the market indicate a rise in demand for property insurance products due to the increasing awareness among the population about the importance of protecting their assets. As urbanization and real estate development continue to expand in Pakistan, the need for property insurance has become more pronounced, driving the growth of the market. Local special circumstances, such as frequent natural disasters like floods and earthquakes in Pakistan, have played a significant role in shaping the Property Insurance market. These events have highlighted the importance of having insurance coverage for properties to mitigate financial losses in the event of such disasters. As a result, property insurance has become more of a necessity rather than an option for property owners in the country. Underlying macroeconomic factors, such as the overall economic growth of Pakistan, have also contributed to the development of the Property Insurance market. As the economy continues to grow and disposable incomes rise, more individuals and businesses are able to afford property insurance, driving the demand for such products in the market. Additionally, regulatory reforms and initiatives to promote insurance penetration in the country have further supported the growth of the Property Insurance market in Pakistan.

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.