Foreign Share, Insurance Density, and Penetration: An Analysis of the International Life Insurance Market

2008 ◽  
Vol 11 (2) ◽  
pp. 327-347 ◽  
Author(s):  
Yu-Luen Ma ◽  
Nat Pope
Keyword(s):  
Life Insurance ◽  
Insurance Market ◽  
Insurance Density

Life Insurance: An International Comparison

2016 ◽  
Vol 3 (1) ◽  
Author(s):  
Manisha Choudhary Deepa
Keyword(s):  
International Comparison ◽  
Life Insurance ◽  
Developing Economies ◽  
The Other ◽  
Insurance Market ◽  
Developed Economies ◽  
High Penetration ◽  
Insurance Density ◽  
Insurance Penetration

Life insurance market is being increasingly recognised as an engine of economic growth. It fulfils the twin objectives of providing social security and long term funds for the economy. The present study is an attempt to study the life insurance performance of the selected economies according to the two accepted parameters, namely, life insurance penetration and life insurance density. This international comparison over the period 2001 to 2011 is successful in bringing out certain interesting results. The developed economies exhibit high penetration and density of life insurance but their growth is retarded. The developing economies, on the other hand, despite of lagging behind in absolute terms of both penetration and density have shown stupendous growth. This shows the hidden potential for the growth of life insurance in case of the developing economies where the developed economies have reached saturation.

scholarly journals The Impact of Demographic Burden on Insurance Density

SAGE Open ◽  
2020 ◽  
Vol 10 (4) ◽  
pp. 215824402098302
Author(s):  
Elena Nebolsina
Keyword(s):  
Old Age ◽  
Life Insurance ◽  
Insurance Market ◽  
Dependency Ratio ◽  
Age Dependency ◽  
Dependency Ratios ◽  
Insurance Density ◽  
Age Dependency Ratio ◽  
The Impact ◽  
Panel Vector Autoregression

The article investigates the relationship between demographic burden and insurance market by employing panel vector autoregression models with six groups of endogenous variables to a dynamic panel data set of 25 economies for the period 1980–2016. Demographic burden is represented by dependency ratios measured in respect to the population younger than the age of 15 (young-age dependency ratio), population above the age of 64 (old-age dependency ratio) as well as males and females above the age of 64 being examined separately. As indicators of insurance market development, life insurance density, non-life insurance density, and total insurance density are used. The robustness of the results is verified across 10 subsamples of the main observation period. The conducted analyses show a heterogeneous impact of demographic burden on the insurance market. The impulse responses reveal that negative effects prevail in the long term, which may result from the negative impact of an increasing demographic burden on the economy. In the short term, growth in female and male old-age dependency ratios drives up life and non-life insurance density.

scholarly journals Performance of the Polish Insurance Sector in the Second Decade of the 21st Century

2020 ◽  
Vol 15 (3) ◽  
pp. 251-264
Author(s):  
Ryszard Stempel
Keyword(s):  
Financial Performance ◽  
Life Insurance ◽  
Penetration Rate ◽  
Private Insurance ◽  
Insurance Market ◽  
Financial Supervision ◽  
Insurance Companies ◽  
Insurance Sector ◽  
Insurance Density ◽  
Statistical Yearbook

The study analyzes the performance of the Polish insurance sector between 2010 and 2019. The analysis was based on source materials from the Statistical Yearbook published by Statistics Poland (GUS), reports of the Polish Financial Supervision Authority (KNF) and the Polish Chamber of Insurance (PIU). The main indicators describing the performance of the insurance market, including its concentration, number of policies, market structure, competitiveness, consumer behavior, and the financial performance of insurance companies were identified and analyzed. The strengths and weaknesses of the Polish private insurance market in the last ten years were determined. The main weakness was a considerable decrease in the sale of life insurance (branch I) policies, which was manifested by a steady decrease in gross premium, a continued decline in insurance density and penetration rate, deteriorating financial performance, and a decrease in the number of branch I insurance companies. Considerably better results were reported in the non-life insurance segment (branch II), where gross earned premium continued to improve and increased by around 64% over the analyzed decade. The non-life sector was also characterized by a steady improvement in density (increase of PLN 436), penetration rate (increase of 0.07%) and financial performance (net technical result increased by PLN 4.2 billion, net profit increased by PLN 1.5 billion).

scholarly journals Insurance market development: An empirical study of African countries

2015 ◽  
Vol 5 (4) ◽  
pp. 319-330
Author(s):  
Athenia Bongani Sibindi
Keyword(s):  
Economic Growth ◽  
South Africa ◽  
Life Insurance ◽  
Insurance Industry ◽  
Insurance Market ◽  
Market Development ◽  
Insurance Markets ◽  
African Countries ◽  
Life Insurance Industry ◽  
Insurance Density

The insurance industry plays a very crucial role in an economy by fostering intermediation and by its mechanism of risk bearing. As such it could be argued that the insurance industry fosters economic growth. In this article we analyse the global insurance market development trends, particularly focusing on Africa. Our sample comprise of the 10 African countries namely—South Africa, Angola, Nigeria, Kenya, Mauritius, Namibia, Algeria, Tunisia, Morocco and Egypt. We employ three insurance market development metrics namely; premium volumes, insurance density and insurance penetrations ratios to establish trends in the level of development of global insurance markets. Our results document that the African countries (excluding South Africa) have the least developed insurance markets. For most of the countries in our sample, the non-life insurance industry dominates the life-insurance industry. As such, it is imperative that their respective governments put in place measures that will grow their economies in order to stimulate the development of insurance markets in Africa.

Regulatory Adverse Selection in the Life Insurance Market

2004 ◽  
Author(s):  
Mattias K. Polborn ◽  
Michael Hoy ◽  
Asha Sadanand
Keyword(s):  
Adverse Selection ◽  
Life Insurance ◽  
Insurance Market

Indian Life Insurance Market and Corporate Performances: A Study of Selected Firms

2016 ◽  
Vol 4 (1) ◽  
Author(s):  
Joy Chakraborty ◽  
Partha Pratim Sengupta
Keyword(s):  
Market Share ◽  
Life Insurance ◽  
Market Concentration ◽  
Insurance Market ◽  
Insurance Companies ◽  
Insurance Company ◽  
Life Insurance Company ◽  
Insurance Sector ◽  
Life Insurers ◽  
Company Limited

In the pre-reform era, Life Insurance Corporation of India (LICI) dominated the Indian life insurance market with a market share close to 100 percent. But the situation drastically changed since the enactment of the IRDA Act in 1999. At the end of the FY 2012-13, the market share of LICI stood at around 73 percent with the number of players having risen to 24 in the countrys life insurance sector. One of the reasons for such a decline in the market share of LICI during the post-reform period could be attributed to the increasing competition prevailing in the countrys life insurance sector. At the same time, the liberalization of the life insurance sector for private participation has eventually raised issues about ensuring sound financial performance and solvency of the life insurance companies besides protection of the interest of policyholders. The present study is an attempt to evaluate and compare the financial performances, solvency, and the market concentration of the four leading life insurers in India namely the Life Insurance Corporation of India (LICI), ICICI Prudential Life Insurance Company Limited (ICICI PruLife), HDFC Standard Life Insurance Company Limited (HDFC Standard), and SBI Life Insurance Company Limited (SBI Life), over a span of five successive FYs 2008-09 to 2012-13. In this regard, the CARAMELS model has been used to evaluate the performances of the selected life insurers, based on the Financial Soundness Indicators (FSIs) as published by IMF. In addition to this, the Solvency and the Market Concentration Analyses were also presented for the selected life insurers for the given period. The present study revealed the preexisting dominance of LICI even after 15 years since the privatization of the countrys life insurance sector.

Sign in / Sign up

Export Citation Format

Share Document