The latest sigma report from Swiss Re Institute shows that emerging markets will remain the growth engine for both the global economy and insurance industry over the next decade. The report indicates that the seven largest emerging markets (China, India, Brazil, Russia, Mexico, Indonesia and Turkey will contribute more than 40% of global growth in the next ten years along with Insurance Premium volume growth. Emerging market premiums are forecast to more than double, outpacing growth in advanced markets by four times. China is set to take over as the largest Insurance market in the world by the mid 2030’s.
China overtook Japan as the second largest Insurance market in the world in US dollar terms in 2017 with premium volumes of $541 billion. The US is the largest market with premiums of around 81.4 trillion in 2017. Emerging markets currently face cyclical and structural challenges, but they remain an attractive growth preposition relative to advanced markets.