Insurances

The Insurances market in Taiwan is projected to reach a market size (gross written premium) of US$107.20bn in 2024.
Among the different segments, Life insurances dominate the market with a projected market volume of US$98.05bn in 2024.
The average spending per capita in the Insurances market is expected to amount to US$4.47k in 2024.
When compared globally, it is evident that the highest nominal value is reached the United States, expected to be US$3.8tn in 2024.
The gross written premium is anticipated to show an annual growth rate (CAGR 2024-2029) of -2.06%, resulting in a market volume of US$96.60bn by 2029.
Once again, the United States is expected to generate the highest gross written premium in the global comparison, with US$3.8tn in 2024.
Taiwan's insurance market is experiencing a surge in demand for health insurance policies due to the country's aging population.

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 Taiwan has been experiencing significant growth and development in recent years. Customer preferences in the insurance market in Taiwan have been shifting towards more comprehensive coverage options that provide a wide range of benefits and protections. Customers are increasingly looking for policies that offer not only traditional life and health insurance but also innovative products such as cyber insurance and income protection plans. Trends in the market indicate a growing demand for digital insurance services in Taiwan. Insurers are leveraging technology to streamline processes, enhance customer experience, and offer personalized products. Online platforms and mobile apps have become popular channels for purchasing insurance policies and managing claims efficiently. Local special circumstances in Taiwan, such as the aging population and the increasing awareness of the importance of insurance coverage, have contributed to the growth of the insurance market. As the population ages, there is a greater need for retirement planning and long-term care insurance, driving the demand for specialized insurance products in the market. Underlying macroeconomic factors, including stable economic growth, low interest rates, and regulatory reforms, have also played a significant role in shaping the insurance market in Taiwan. The favorable economic conditions have boosted consumer confidence and disposable income, leading to increased investments in insurance products as a form of financial security and wealth protection. Additionally, regulatory changes aimed at enhancing transparency and consumer protection have fostered a more competitive and dynamic insurance market in Taiwan.

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.