Market Research Report
Strategic Market Intelligence: Life Insurance in Hong Kong - Key Trends and Opportunities to 2022
|Published by||GlobalData||Product code||692938|
|Published||Content info||58 Pages
Delivery time: 1-2 business days
|Strategic Market Intelligence: Life Insurance in Hong Kong - Key Trends and Opportunities to 2022|
|Published: June 28, 2019||Content info: 58 Pages||
The life insurance business is the most important in Hong Kong's insurance industry; by GWP, it accounts for over 90% of the total business. Furthermore, it is the retail consumer segment that drives this market, considering the 94% share attributed in this regard. As of end-2017, the life insurance industry was valued at HKD452.4 billion (US$58.0 billion), in terms of GWP. The market size grew at a review-period (2013-2017) CAGR of 14.8%, and is projected to reach HKD669.4 billion (US$91.0 billion) by 2022.
As of the end of 2017, Whole Life products accounted for almost 60% of the total life insurance GWP. These products have been popular as a savings product, guaranteeing long-term stable returns. Annuity is the fastest growing product category, growing at a CAGR 22.4% during the review period. Non-linked annuities account for the major share of this (87% as of 2017), and show a rising trend in the same, as investors seek better returns than those in the linked ones.
Foreign insurers play a predominant role in the market. Of the top five insurers by GWP, three were foreign in 2017. However, foreign insurers are not allowed to offer foreign insurance policies in the Chinese mainland. AIA holds the market leadership position, with a 20% share of GWP in 2017. The insurer has been leading the market during the period, ranking in the top first or second position; it is followed by Prudential Hong Kong in second position.
Reflecting the country's high retail banking presence, bancassurance is the predominant channel. With innovations in technology, it is expected to continue playing a key role. At the same time, emerging regulations (such as international accounting standards) entail a greater thrust on transparency and disclosures. The mandatory disclosure requirement is among the key reasons behind banks and other distribution channels declining to engage in the selling of investment-linked products.
The report "Strategic Market Intelligence: Life Insurance in Hong Kong - Key Trends and Opportunities to 2022", provides a detailed outlook by product category for the Hong Kong life insurance segment. It provides values for key performance indicators such as written premium, premium by consumer segment and life insurance penetration during the review period (2013-2017) and forecast period (2017-2022). The report also analyzes distribution channels operating in the segment, gives a comprehensive overview of the Hong Kong economy and demographics, and provides detailed information on the competitive landscape in the country.
The report brings together research, modeling and analysis expertise, giving insurers access to information on segment dynamics and competitive advantages, and profiles of insurers operating in the country. The report also includes details of insurance regulations, and recent changes in the regulatory structure.
Companies mentioned: AIA International Limited, Asia Insurance Company Limited, Assicurazioni Generali Societa per Azioni, AXA China Region Insurance Company Limited, Boc Group Life Assurance Company Ltd, China Life Insurance (Overseas) Company, FWD Life Insurance Company (Bermuda) Limited, Hang Seng Insurance Company Ltd, HSBC Life (International) Ltd, Liberty International Insurance Limited, Manulife (International) Ltd, MassMutual Asia Limited, Principal Insurance Company (Hong Kong), Prudential Hong Kong Ltd, Sun Life Hong Kong, Zurich International Life Limited
This report provides a comprehensive analysis of the life insurance segment in Hong Kong -