Driven by strength in emerging Asia, insurance markets will grow despite weakening global economic growth, sigma says
Insurance markets continue to support resilience, with global premiums forecast to increase by 3% annually in real terms in 2020 and 2021, despite a slowing world economy. In its latest sigma, "Sustaining resilience amid slowing growth: global economic and insurance market outlook 2020/21," Swiss Re Institute (SRI) forecasts US and euro area growth next year of 1.6% and 0.9%, respectively, below consensus. The main engine of the global economy will be emerging Asia, with near 6% growth in both India and China. The contribution of insurance to resilience will be greatest in this region as well. In China, non-life premiums are forecast to grow by 9% in 2020, and life premiums by 11%.