Global Commercial Insurance Market Growth
The global commercial property or casualty insurance premiums are worth approximately 730 billion dollars in the year 2017. While by the year 2021 would increase to almost 900 billion dollars.
United States of America commercial property or casualty insurance premiums are worth 274.5 billion dollars in the year 2017. And they forecast to increase to 331.5 billion dollars in the year 2021.
Aon’s Data Analytics
These exact figures are from the market reports from the Aon Inpoint. It is the insurance broker Aon’s data analytics & consulting team. It looked at where the premium growth is actually to occur in the next few years.
The Aon analysts contend that by the year 2021 the very high growth of premiums would be surely seen in the cyber insurance products.
In addition to it, they also expect that the minerals and mining, the financial institutes, and the media and technology sectors would grow. This growth will be at very high speed in comparison to some other industry divisions.
An Aon’s global studies have already looked at the insurance. Its owners are the corporate sector, the public sector and the NGO from 2013 to 2017. And they have also forecasted the trends into the year 2021.
Over the previous 5 years, the cyber premiums have increased significantly at twenty-three percent per year. By the year 2021, the Aon is predicting that across the world the cyber premiums would be worth 4 billion dollars. It is a compound yearly growth rate of approximately 14.1 percent.
According to Michael Moran, CEO of Aon Inpoint, “because we look ahead. So we are actually seeing the major shift of the companies. That is putting a higher value on the intangible assets, just like the cyber as well as the intellectual property”.
Moran has also said that there are so many different reasons for this more and more focus and thus the boosted premiums that range from the financial statement security because of the business interruptions to an evolving global regulatory environment. It includes the General Data Protection Regulation of European Union.
Across all kinds of the commercial property or casualty insurance, a manufacturing segment has generated very high premiums across the world in the year 2017. It is worth around 111 billion dollars. And then following the manufacturing sector, there came the fishing, agriculture, and forestry at 72 billion dollars. There was an increment in it by a large value of the segment in the United States of America as well as China.
Whereas the manufacturing sector would remain very much strong, the premiums purchased by different financial institutions, the minerals & mining sector, and the media & technology organizations are actually anticipated to rise quite rapidly through to the year 2021 along with the yearly growth rate of about six percent in every case.
Observation of Aon’s analysts
Some more additional observations from the Aon’s analysts:
- Among the large product segments, the premiums for the commercial motor insurance across the world have grown at very fast speed from the year 2013 to the year 2017. It reached 192 billion dollars in the year 2017.
- Across the world, the compensation premiums of the workers touched the figure of 83 billion dollars. This was so mainly because of their very large size in the United States of America. They have increased from 71 billion dollars in the year 2013.
- About 97 billion dollars of a global commercial lines market actually purchased by the micro-enterprises. These micro-enterprises comprise of self-employed individuals and the entities with up to 9 employees.
Also, Moran has said that there’s not any kind of the standardized data set. The data that actually describes the segmentation as well as the size of the commercial lines insurance. Though his research of the firm which actually segments a global market in deep detail regarding the industry, product, and client size. It also fills a crucial gap. And the insurers can easily use it in order to find new underwriting opportunities across the world.
Global Commercial Insurance Prices
The Global Insurance Market Index from Marsh L.L.C. revealed that the global commercial insurance prices have risen on average for the 2nd consecutive quarter after 4 and a half years of the decrease in the price level.