Insurance market to reach $41bn by 2029

According to Rice Warner's Risk Insurance Market Projections 2014 report, the market is set to grow from $13.83 billion to $41.28 billion by 30 June 2029.

“A more than doubling of the total market value over the next 15 years requires a growth rate of 7.6 per cent per annum. Plausible? We believe so,” a statement from Rice Warner said.

“Against recent actual growth figures of 10.1 per cent and 11.2 per cent respectively over the 2013 and 2014 financial years, our longer term estimates may look conservative.

“But the 15 year projections also price in a gradual slowing of growth, along with a projected temporary catch-up in premium rates over the next two years,” Rice Warner said.

Research house Plan For Life has also reported that risk income inflows have increased 5.7 per cent over the past 12 months to March 2015.

Among the companies that performed well over the year in percentage terms, BT/Westpac grew 20.1 per cent, TAL grew 11.8 per cent and OnePath grew 11.2 per cent.

Plan For Life also reported that overall group risk premium inflows were up 15.1 per cent for the year.

“Of the larger companies, CommInsure (23.2 per cent), AIA (23 per cent) and MLC (20.6 per cent) recorded well above-average percentage increases in their annual Group Risk Inflows, largely due to pricing increases,” a statement from Plan For Life said.