Hong Kong's general insurance sector saw steady premium growth alongside a surge in overall profitability in 2025, despite underwriting performance coming under pressure in parts of the market, according to data from the Insurance Authority.
General business
Total gross premiums for general business reached HK$108.5bn ($13.9bn), reflecting year-on-year growth of 8%. Net premiums meanwhile stood at HK$74.1bn, up 6.3%. Gross claims paid increased at a slower pace of 4.5% to HK$55.4bn, supporting an overall operating profit of HK$11.4bn, a significant 39.7% increase from the previous year.
Despite this growth, underwriting profitability slipped, with total underwriting profit falling 12.5% to HK$2.9bn.
Direct business continued to drive growth, with gross and net premiums rising to HK$54.8bn (+6.6%) and HK$37.8bn (+5.7%), while claims increased 3.9% to HK$29.1bn. The growth was driven by onshore accident and health premiums of HK$23.7bn (+10.8%). Underwriting profit jumped 174.7% to HK$3.2bn, supported by recoveries in pecuniary loss (from a HK$1.4bn loss to a HK$0.5bn profit) and accident and health (from a HK$0.4bn loss to a HK$0.9bn profit).
Wang Fuk Court fire-related claims led to onshore property damage profit falling 97.2% to HK$15.8m.
Reinsurance inward business posted premium growth but weaker results, with gross premiums at HK$53.7bn (+9.4%) and net premiums at HK$36.2bn (+7%). Claims rose 5.1% to HK$26.3bn, while underwriting swung to a HK$0.4bn loss from a HK$2.1bn profit, driven by weaker offshore property damage, general liability, and accident and health lines.
Long-term business
New office premiums, excluding retirement scheme business, for long-term business stood at HK$330.9bn, representing an increase of over 50%. This was mainly composed of HK$312.1bn from non-linked individual business (up 49.9%), which can be further broken down into participating business of HK$282.8bn (up 55.1%) and other business of HK$29.3bn (up 13.7%), as well as HK$18.5bn from linked individual business (up 65.4%).
Total revenue premiums of in-force business reached HK$718.5bn in 2025, up 33.7%.