As per GlobalDatas's Property Insurance Industry Outlook in Asia-Pacific in 2022 report, the global property insurance industry recorded a CAGR of 4.1% during the period 2016–20, backed by an increase in weather-related events, which fueled the demand for property insurance. Among all the regions, Asia-Pacific recorded the highest increase in this industry. Its share in global premiums increased from 14.3% to 17.2% during 2016–20.
Outlook
Escalating natural catastrophe losses, wildfire and Coronavirus (COVID-19) outbreak impacted property underwriting and claims exposure in 2020. Asia-Pacific property insurers were also impacted by contentious claims and lawsuits in business interruption and event cancellation insurance due to lack of clarity in policy wordings on epidemic and pandemic coverage.
The unprecedented situation caused by COVID-19 highlighted the importance of clear policy wording compelling insurers to make changes in the risks covered in those policies.
Despite the outbreak, Asia-Pacific exhibited strong growth of 10.4% in 2020, supported by growth from developing economies in the region. China and India registered double-digit growth of 14.2% and 21.4% respectively in 2020. Demand in these markets was strongly backed by commercial and industrial developments.
Clean energy, climate change and environmental, social and governance (ESG) considerations are expected to remain key focus areas for property insurers. With increasing awareness towards climate change and new standards laid under the COP26, property insurers are expected to reduce carbon footprints at the operational level, as well as review investment strategy and underwriting.
Insurers are focusing on prudential underwriting practices and technology to safeguard their losses
Given the region’s high vulnerability to natural hazard risk, insurers are wary about their exposure and are turning to insurtech to improve industry practices. Japan-based MS&AD Insurance Group and Sompo Japan are among the leading regional insurers that have partnered with tech companies to access AI-enabled geospatial data for hazard mapping and improved claim settlements.
Competitive landscape
MS&AD Insurance Group, Tokio Marine, Sompo Holdings, Fubon Insurance and Axa were the top five insurers, with a collective share of 73.8% in 2020.
Overall, five out of the top 10 insurers were based out of Japan. Apart from the top three, The Kyoei Fire & Marine Insurance and Secom General Insurance were the other two Japanese insurers that were ranked seventh and eighth, respectively, in 2020.
Access the full report: Property Insurance Industry Outlook in Asia-Pacific in 2022
United States of America
United States of America
United States of America
United States of America
United States of America
United States of America
Germany
France
Don’t wait - discover a universe of connected data & insights with your next search. Browse over 28M data points across 22 industries.
Access more premium companies when you subscribe to Explorer