BMI View: Currency movements mean that gross written premiums in the UK ' s domestic insurance sector are likely to fall in USD terms over the course of 2015. In general, though, it is the strengths and opportunities that prevail. We are looking for total premiums to rise by around 5% annually in GBP terms through the forecast period. Differing corporate strategies of the world class majors that dominate both the life and the non-life segments mean that further mergers and acquisitions are likely.
Any assessment of the situation and prospects for the UK's insurance sector is complicated by London's importance as a global centre for (re)insurance - being home to the specialist Lloyd ' s market and subsidiaries of most of the world's leading companies, as well as the International Underwriting Association. In general, though, the likely measured growth in premiums written - in both the life and the non-life segments - through the forecast period obscures the strengths and the opportunities of the sector. In the short-term, the strength of the USD will reduce the trajectory of premiums when expressed in that currency.
The offerings of the life insurers - which include a broad variety of savings and protection products, as well as annuities and wealth management solutions from affiliated asset management companies - have long played a central role in the UK's organised savings industry. The industry is dominated by long-established and world class players (both UK and foreign) that have access to all the capital that they need, as well as economies of scale. The leaders also have multi-channel distribution (i.e. through independent financial advisers, brokers, tied agents and directly), brands and proven ability to innovate. Most have businesses in the UK that are mature and cash generative - if not necessarily growing in terms of gross written premiums. As the recent news flow indicates, the liberalisation of the rules governing pensions (which removes the...
The United Kingdom Insurance Report has been researched at source and features BMI Research's independent assessment and forecasts for the insurance sector. It examines industry developments, key growth drivers and risk management projections, including the macroeconomic situation, government policy, regulatory environment and the level of development and potential for growth, broken down by line. Leading insurers are profiled, covering premiums, products and services and competitive positioning.
BMI's United Kingdom Insurance Report provides professionals, consultancies, government departments, regulatory bodies and researchers with independent forecasts and regional competitive intelligence on the British insurance industry.
- Benchmark BMI's independent insurance industry forecasts for United Kingdom to test other views - a key input for successful budgeting and strategic business planning in United Kingdom's insurance market.
- Target business opportunities and risks in United Kingdom through our reviews of latest industry trends, regulatory changes and major deals, investments and macroeconomic developments.
- Exploit latest competitive intelligence on your competitors, partners and clients via our Company Profiles (inc. SWOTs, KPIs and latest activity).
BMI Industry View
Summary of BMI’s key industry forecasts and views, covering the Life and Non-Life segments, the evolving competitive landscape and business operational risks.
Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the insurance sector and within the broader political, economic and business environment.
BMI Industry Forecasts
Historic data series (2005-2014) and forecasts to end-2019 for key industry indicators, supported by explicit assumptions, plus analysis of key risks to the main forecasts. Indicators include:
- Life/non-life Premiums: Total premium growth (USDmn), premium growth (% y-o-y), penetration (% of GDP), density (USD per capita) for Life and Non-Life sectors, claims reinsurance, and assets and liabilities.
- Non-life subsectors: Data on gross written premiums for all major Non-Life segments (motor, transport, property, personal accident, health, general liability and credit financial).
BMI’s Insurance Risk Reward Index
BMI’s Risk Reward Indices provide investors (Life and Non-Life) looking for opportunities in the region with a clear country-comparative assessment of a market’s risks and potential rewards. Each of the country markets are scored using a sophisticated model that includes more than 40 industry, economic and demographic data points to provide an indices of highest to lowest appeal to investors, with each position explained.
Examines the competitive positioning and short- to medium-term business strategies of key industry players. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.
Growth Drivers & Risk Management Projections
Key data and forecasts to end-2019 focusing on the growth drivers and downside risks to specific insurance lines including:
- Population: Male/female, by age group, active/pensionable/youth population % of total, urban/rural population % of total.
- Freight: Tonnage – air freight, rail freight, road freight, inland waterway.
- Motor: Fleet size by type of vehicle % change y-o-y.
- Epidemiology: Disease Adjusted Life Years and private health expenditure.
Market Overview & Rankings
Illustration of the insurance industry via rankings tables comparing gross written premiums by company (USDmn) and market share (%) for the top 20 players in both Life and Non-Life. This chapter also includes in-depth regional analysis of the market position, business strategies and investment potential of the leading insurance companies.
The insurance Reports draw on an extensive network of primary sources, such as multilateral organisations, government departments, industry associations, chambers and company reports.
*Company profiles are not available for every country. Those reports instead contain information on the current activities of prominent companies operating in the market.