With selected research partners, we explore the future of risk coverage, assess changes in the risk landscape and act as a catalyst for industry change.
Life and health insurance will be hit by COVID-19 in 2020 but the recovery should be swift as consumers seek more protection-type life and health insurance.
Key takeaways
Global life and health insurance premiums are expected to contract 2.9% to USD 4.2 trillion this year but recover swiftly to 3.2% growth in 2021.
We estimate that COVID-19 will cut life and traditional health premiums (excluding medical cover) by 8ppt globally to fall by 4.4% in real terms this year.
Protection-type insurance products should be more resilient to the COVID-19 hit than savings business, which typically suffers during downturns.
Heightened health risk awareness and normalising financial market conditions should drive the rebound.
We continue to expect manageable life and health claims, partly due to typically lower mortality rates in the insured vs general population.
Economic Insights, direct to your inbox
Our Economic Insights series looks at current economic topics and their implications for the re/insurance industry.
Subscribe to receive each edition of Economic Insights.
Economic Insights
Global life and health insurance: 2021 to offer respite after COVID-19 hit this year
Contact
sigma research
Our data driven research publications, including the industry leading sigma, enable risk focussed decision making and identify strategic opportunities in the re/insurance industry.