South Korean general insurance market poised for ‘steady growth’

Written by Michael Griffiths

21/11/2024

South Korea’s general insurance industry is set to be worth $33.3bn in five years, new estimates from GlobalData have indicated.

The data and analytics group said that the South Korean general insurance industry is “poised for steady growth” and set to grow at a compound annual growth rate (CAGR) of 5.2%.

This would take the South Korean industry from a market value of $26bn in 2024, to $33.3bn in 2029.

GlobalData said the growth would be driven by economic recovery, mandatory insurance regulations, and a heightened focus on data protection.

In 2024 alone, South Korea’s general insurance industry is estimated achieve 5% growth, driven by compulsory lines of insurance and increased awareness for data protection, which GlobalData suggested would lead to higher demand for liability insurance products.

According to GlobalData’s Insurance Database, South Korea’s general insurance industry is estimated to grow by 5% in 2024, driven by compulsory lines of insurance and increased awareness for data protection, leading to higher demand for liability insurance products.

“The South Korean general insurance industry may face potential premium price increases in the short-term due to the escalating geopolitical crisis in the Middle East that can potentially influence the prices of important commodities, given the country’s high reliance on trade,” analyst at GlobalData, Aarti Sharma, commented.

“The general insurance industry in South Korea is poised for steady growth, driven by an economic recovery and mandatory insurance requirements. The industry’s resilience and adaptability to changing market conditions and expanded scope for liability insurance are likely to contribute to the industry’s growth trajectory in the coming years.”

Related Articles