APAC reinsurance market set to top $68bn

Written by Michael Griffiths

14/03/2025

The reinsurance market in the Asia-Pacific (APAC) region is projected to be worth $68.4bn by 2029, according to new figures from GlobalData.

The analytics company stated that the APAC reinsurance market will grow from an estimated $54bn in 2024, at a compound annual growth rate (CAGR) of 4.8%.

GlobalData’s 2024 Global Reinsurance Market Report revealed that APAC accounted for 13.3% of global reinsurance premiums in 2023. The reinsurance market has witnessed stable pricing in 2024, marking a departure from the hard market conditions of 2023.

A few mature and fast-growing insurance markets in the APAC region will “drive the growth”, GlobalData said, along with an increasing inclination of reinsurers towards underwriting catastrophe risks.

Regulatory developments, such as the introduction of the new risk-based capital regimes in Hong Kong and climate risk stress tests in Malaysia, are also enhancing the market’s resilience.

“The APAC reinsurance market is expected to register steady growth, supported by disciplined pricing strategies and selective risk management,” commented senior insurance analyst at GlobalData, Swarup Kumar Sahoo.

“The adoption of International Financial Reporting Standard 17 in countries like Japan and South Korea has led to stable returns on equity, further strengthening the market. However, the region’s vulnerability to natural catastrophes and economic uncertainties poses challenges that reinsurers must navigate carefully.”

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