Insurance Market Share

Insurance Market Share

About the Insurance Industry

Insurance is a contract, represented by a policy, in which an individual or entity receives financial protection or reimbursement against losses from an insurance company. The company pools clients' risks to make payments more affordable for the insured. Insurance policies are used to hedge against the risk of financial losses, both big and small, that may result from damage to the insured or her property, or from liability for damage or injury caused to a third party. Any risk that can be quantified can potentially be insured. Specific kinds of risk that may give rise to claims are known as perils. The most important categories are auto insurance, gap insurance, health insurance, income protection insurance, casualty insurance, life insurance, burial insurance, property insurance, liability, credit, etc. Travelers Companies is the Insurance market share Company leader with 6% share. You can find Insurance Market Size, Insurance Market Share, and other trends and statistics below and you can learn more about T4's strategy consulting services here.

Global Insurance Premiums (US$), 2018-2025

Insurance Market Size

The chart shows the Insurance Market Size from 2018 to 2025. In 2020, the size of the Insurance Industry was $3.2T and is projected to grow 3% in 2021. From 2018 to 2025 the Insurance Industry growth is projected to average 3% per year. These estimates were made before the Coronavirus (COVID-19) pandemic. The short term impact of COVID-19 on the Insurance market growth will likely be High because Collaboration between traditional insurance and InsurTech firms will give rise to newer models and revenue streams, higher profitability, and reduced operational costs. Insurers are responding to the COVID outbreak on multiple forms, such as claim payers, employers, and investment managers. Operational costs are rising due to crisis management, while premiums shrink in many lines of business. New business in motor insurance, for example, is declining as people drive less due to social distancing. Investment returns are also under pressure due to volatility in financial markets. The long term impact of COVID-19 on the Insurance market growth beyond the COVID-19 pandemic will likely be High because Insurers across the world would likely be impacted by a sharp slowdown in economic activity, which would undermine growth and perhaps even contract insurable exposures. Interest rate declines will weigh heavily on the entire insurance industry, but will most especially affect operations in the life insurance and annuity sectors. The situation is exacerbated by major volatility in the equity markets. Property-casualty insurers tend to be especially vulnerable to stock market fluctuations, as they hold more liquid assets in case of catastrophic losses. Financially, insurers will also likely need to adjust their budgets and implementation plans, cash flow expectations, and investment portfolios in light of recent developments. Request help with obtaining the source for this data and learn more about T4's strategy consulting services here.

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Insurance Market Share - Top 10 Writers Of Commercial Lines Insurance By Direct Premiums Written, 2015-2018
Insurance Market Share

The chart shows Insurance Market Share in 2018. The Insurance Market is Highly Fragmented among many vendors. The leading Company in the Industry was Travelers Companies with 6% Insurance market share in 2018, followed by Chubb with 5.5% Insurance market share, Liberty Mutual with 5% Insurance market share, American International Group (AIG) with 4%, Zurich Insurance Group with 3.8%, Berkshire Hathaway with 3.2%, CNP Financial Corporation with 3.2%, Hartford Financial Services with 2.8%, Nationwide Mutual Group with 2.5%. Get help with market research for the Insurance market, including the source for this Insurance Market Share chart and learn more about T4's strategy consulting services here.

Growth Drivers

Growth in the insurance market is driven by the development of a healthy economic environment, improvements in insurance regulations, product innovation, and a leveraging of multiple distribution channels. The healthy economic environment has had a positive effect on insurance premium growth. In addition, in an attempt to encourage healthy competition, certain markets have reduced state involvement and taken insurance-enabling regulatory measures. Product innovation has also driven fast-paced growth in certain insurance segments, including microinsurance and takaful. Due to the maturity of the market in industrialized countries, non-life insurance premiums in emerging markets are foreseen to grow more than twice as fast as in industrialized countries. Life premiums are also expected to outpace those in industrialized countries. The global insurance market is experiencing a transformation to ‘digital-first’ business models. With an increasing focus on personalized premiums and usage-based coverage, insurers are leveraging the Internet of Things, advanced analytics and machine learning to develop more granular individual risk profiles. Collaboration between traditional insurance and InsurTech firms will give rise to newer models and revenue streams, higher profitability, and reduced operational costs.

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Insurance Industry Competitor and Products

Insurance is a Mature market composed of many competitors. Travelers Companies market share was 5.5% of the Insurance market in 2018. The company has field offices in every U.S. state, plus operations in the United Kingdom, Ireland, Singapore, China, Canada, and Brazil. Travelers, through its subsidiaries and approximately 14,000 independent agents and brokers, provides commercial and personal property and casualty insurance products and services to businesses, government units, associations, and individuals. The company offers insurance through three segments: Personal Insurance, Business Insurance, Bond, and Specialty Insurance. Chubb market share was 5.5% of the Insurance market in 2018. Chubb is the world’s largest publicly traded P&C insurance company and a leading commercial lines insurer in the U.S. Chubb has operations in 54 countries and territories and provides commercial and personal property and casualty insurance, personal accident and supplemental health insurance, reinsurance, and life insurance. Chubb has more than $173 billion in assets and reported $40 billion of gross premiums written in 2019. Chubb maintains executive offices in Zurich, New York, London, Paris, and other locations, and employs approximately 33,000 people worldwide. Liberty Mutual market share was 5% of the Insurance market in 2018. Liberty Mutual through its subsidiaries and affiliated companies offers a wide range of property and casualty insurance products and services to individuals and businesses alike. Liberty Mutual employs nearly 50,000 people in over 800 offices throughout the world. The Company conducts substantially all of its business through two business units: Global Retail Markets and Global Risk Solutions, with each operating independently of the other in certain areas such as sales, underwriting, and claims, but, as appropriate, collaborating in other areas such as actuarial and financial. American International Group (AIG) market share was 4% of the Insurance market in 2018. AIG has operations in more than 80 countries and jurisdiction, with 49,600 people employed all over the world. The company operates through three core businesses: General Insurance, Life & Retirement, and a standalone technology-enabled subsidiary. Prudential market share is not in the top 10 among all insurance categories, although it is one of the largest companies in the Life insurance market all over the world, and the largest in the US in terms of assets as of 2019.

What Additional Insurance Industry Data Does T4 Have?

T4's research team can help you learn more about the Insurance industry with market analysis, competitive analysis, commercial Due Diligence, and other market research needs. This includes deeper analysis on competitors in the Insurance market, including: Axa, Allianz, Prudential, Nippon Life, MetLife, Berkshire Hathaway, Legal & General, Japan Post Insurance, Ping An Insurance, Aviva; research into related topics such as Property & Casualty, Banking, Investments, Autonomous Vehicle Insurance, Cyber Insurance, IoT Insurance, Banking & Insurance Management Systems; or additional support in the Banking & Insurance, Healthcare, Automotive, Pharma & Life Sciences, Industrials, Cybersecurity Sectors or others. Learn more about T4's strategy consulting services here.