Non-life insurances - Tanzania | Statista Market Forecast

The Non-life insurance market in Tanzania is projected to reach a market size (gross written premium) of US$1.26bn in 2024.
The average spending per capita in the Non-life insurance market is expected to amount to US$18.18 in 2024.
With an annual growth rate (CAGR 2024-2029) of 2.42%, the gross written premium is expected to result in a market volume of US$1.42bn by 2029.
In global comparison, the United States is anticipated to generate the highest gross written premium of US$2.5tn in 2024.
The Non-life insurance market in Tanzania is experiencing rapid growth due to increasing demand for coverage in sectors such as agriculture and infrastructure.

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

The Non-life insurances market in Tanzania is experiencing significant growth and development.

Customer preferences: Customers in Tanzania are increasingly valuing the security and protection that non-life insurance policies provide, especially in the face of unpredictable events such as natural disasters and accidents. This growing awareness of the importance of insurance coverage is driving demand for non-life insurance products in the country.

Trends in the market: One notable trend in the Tanzanian non-life insurance market is the increasing adoption of technology and digital solutions by insurance companies. This trend is not only streamlining processes and improving efficiency within the industry but also making insurance products more accessible to a wider population. Additionally, there is a noticeable shift towards more customized and innovative insurance products to meet the specific needs of customers in Tanzania.

Local special circumstances: In Tanzania, the regulatory environment plays a crucial role in shaping the non-life insurance market. Stricter regulations and compliance requirements are not only ensuring the stability and reliability of insurance companies but also fostering trust among customers. Moreover, the presence of a diverse range of insurance providers in the market is offering customers a variety of options to choose from, leading to increased competition and product innovation.

Underlying macroeconomic factors: The overall economic growth and stability in Tanzania are contributing to the positive trajectory of the non-life insurance market. As the economy continues to expand, more individuals and businesses are seeking insurance coverage to safeguard their assets and mitigate risks. Additionally, the rising middle-class population in Tanzania is driving the demand for insurance products, creating opportunities for further market growth and development.

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.