Asia Pacific: Region's advanced insurance markets to grow by more than 3% in real terms this year and next
Source: Asia Insurance Review | Jan 2022
Advanced insurance markets in Asia Pacific are expected to grow by 3.9% in real terms in 2021, 3.5% in 2022 and 2.8% in 2023, according to Swiss Re Institute.
In its latest sigma study entitled ‘Turbulence after lift-off: global economic and insurance outlook 2022/23’, Swiss Re Institute says that its 2020 and 2021 surveys of consumer trends in major Asia-Pacific markets find consistent evidence of consumers’ rising awareness of health and mortality risks and a perception of being under-insured. The change in risk perception is reflected in observed growth in life and health insurance premiums.
The report says that global insurance premiums would grow by 3.4% in real terms in 2021, 3.3% in 2022 and 3.1% in 2023. The global insurance industry is forecast to reach a new record in global premiums by mid-2022, exceeding $7tn.
The insurance industry outlook is also supported by a strong cyclical recovery from the COVID-19 shock, but economic growth is expected to slow in the next two years due to an unfolding energy price crisis, prolonged supply-side issues, and inflation risks. Long-term structural support for growth is needed, as Swiss Re Institute’s resilience analysis in the sigma report shows.
Swiss Re Institute estimates that global non-life premiums will grow by 3.3% in 2021, 3.7% in 2022 and 3.3% in 2023.
Global life premiums are expected to increase by 3.5% in 2021, 2.9% in 2022, and 2.7% in 2023. A