Insurances

The Insurances market in Senegal is projected to reach a gross written premium of US$504.20m in 2024.
Non-Life Insurances dominates this market segment, with a projected market volume of US$347.20m in the same year.
The average spending per capita on insurance in Senegal is estimated to be US$27.67 in 2024.
When comparing in Senegal to other countries globally, it is interesting to note that the United States is expected to have the highest nominal value in the insurance market, reaching US$3.8tn in 2024.
Looking ahead, the gross written premium in Senegal is expected to grow at an annual rate of 2.46% (CAGR 2024-2029), resulting in a market volume of US$569.30m by 2029.
Once again, the United States is projected to generate the highest gross written premium globally, with US$3.8tn in 2024.
With the growing middle class and increasing awareness of the importance of insurance, Senegal's insurance market is experiencing a surge in demand for various coverage options.

Definition:

Insurance is a financial arrangement that provides individuals or businesses with protection against unexpected financial losses. In exchange for regular payments, known as premiums, an insurance policyholder is covered in case of specific events, such as accidents, illnesses, or damage to property. When a covered event occurs, the insurance company compensates the policyholder, helping them recover from the financial impact of the loss or damage. Gross written premium (GWP) is the main indicator of the insurance market. It is the total amount of money that an insurance company collects from policyholders for their insurance coverage before deducting expenses or commissions.

Structure:

The insurance market comprises life and non-life insurances. 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, loss ratio – calculated as gross claim payments divided by gross written premium, for selected European countries the distribution channels of insurance bookings, and the share of insureds in the total population for over 50 countries for live, health, motor vehicle, property, general liability, and legal insurances.

Life insurances
Non-life insurances

Some non-live insurances, such as travel insurance, freight insurance, and accident insurance
Reinsurance

The Insurances market in Senegal has been experiencing significant growth and development in recent years. Customer preferences in the insurance market in Senegal are shifting towards more comprehensive coverage options, reflecting a growing awareness of the importance of insurance protection. Customers are increasingly seeking policies that cover a wide range of risks, including health, property, and life insurance. This trend mirrors a global pattern where consumers are becoming more risk-conscious and are looking for tailored insurance solutions to safeguard their assets and well-being. Trends in the market indicate a rise in the adoption of technology and digital platforms for insurance services in Senegal. Insurers are leveraging digital channels to reach a wider customer base, streamline processes, and enhance the overall customer experience. This shift towards digitalization is not unique to Senegal but aligns with a broader trend in the insurance industry worldwide, as companies seek to improve operational efficiency and meet evolving customer expectations. Local special circumstances in Senegal, such as a relatively young population and an expanding middle class, are driving the growth of the insurance market. With a growing number of individuals entering the workforce and accumulating assets, there is an increasing demand for insurance products to protect against various risks. Additionally, regulatory reforms and initiatives to promote financial inclusion are creating a more conducive environment for insurance companies to expand their offerings and reach underserved segments of the population. Underlying macroeconomic factors, including stable economic growth and a favorable business environment, are supporting the development of the insurance market in Senegal. As the economy continues to diversify and expand, there is a corresponding increase in disposable income levels and investment opportunities. This economic stability provides a solid foundation for the insurance sector to thrive and innovate, meeting the evolving needs of customers in Senegal.

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.