With these results, China insurance market ranks second worldwide after the United States (1 377 billion USD). It is ahead of Japan (422.05 billion USD) and the United Kingdom with 283.33 billion USD in premiums.
With a turnover of 317.57 billion USD in 2017, life class of business reported the highest growth, that is 21%. This rate is well above the 2.9% reported worldwide. The life class of business penetration rate, which is only 2.59% in China, suggests a strong margin of growth in this sector.
The non-life business has increased by 10%, rising from 203.52 billion USD in 2016 up to 223.88 billion USD in 2017. This progression, although more moderate than that of the life business, remains well above the global one reported for the non-life, set at 5.4% in 2017.
Evolution of China’s insurance industry 1980-2017: premiums statistics
Source : Atlas Magazine
In China insurance industry has grown tremendously over the last ten years. Between 2007 and 2017, premiums had increased almost six fold from 92.46 billion USD to 541.45 billion USD.
Market share in global insurance increased from 2% in 2007 to 11% ten years later (see table below).
China insurance industry 1980-2017: Evolution of premimus and market shares
In billions USD
| Years | Life premiums | Non life premiums | Total premiums | Growth rate | Total global premiums | Chinese market share |
|---|---|---|---|---|---|---|
| 1980 | - | 0.19 | 0.19 | - | 466.10 | 0.04% |
| 1990 | 1.18 | 1.97 | 3.15 | - | 1 407.58 | 0.22% |
| 2000 | 10.28 | 9 | 19.28 | - | 2 490.70 | 0.77% |
| 2007 | 58.67 | 33.79 | 92.46 | 31% | 4 131.22 | 2% |
| 2008 | 95.81 | 44.98 | 140.79 | 52% | 4 182.39 | 3% |
| 2009 | 109.17 | 53.87 | 163.04 | 16% | 4 073.52 | 4% |
| 2010 | 143.01 | 71.63 | 214.64 | 32% | 4 309.66 | 5% |
| 2011 | 134.57 | 87.34 | 221.91 | 3% | 4 570.65 | 5% |
| 2012 | 141.19 | 104.29 | 245.48 | 11% | 4 611.07 | 5% |
| 2013 | 153.3 | 126.82 | 280.12 | 14% | 4 611.93 | 6% |
| 2014 | 176.95 | 151.49 | 328.44 | 17% | 4 781.25 | 7% |
| 2015 | 210.76 | 175.74 | 386.5 | 18% | 4 599.85 | 8% |
| 2016 | 262.62 | 203.52 | 466.14 | 21% | 4 702.84 | 10% |
| 2017 | 317.57 | 223.88 | 541.45 | 16% | 4 891.69 | 11% |
Related article:
China insurance industry in 2017, the driving force
In recent years, China has contributed significantly to the global growth of the insurance market. In 2017, total global premiums increased by 4%, going from 4 702.84 billion USD in 2016 up to 4 891.694 billion USD a year later. This growth is particularly sustained by the emerging markets, led by the Celestial Empire, which alone posted a 16% growth.
China life insurance industry in 2017
It is in life insurance that China stands out the most, achieving a 21% growth in 2017, against a modest 2.9% worldwide. In a context of low interest rates, the life business is stagnating in mature markets. In contrast, in China, interest rate liberalization and government efforts to encourage the growth of pension products have contributed significantly to the growth of this activity.
China is now the second largest market after the United States, contributing with nearly 12% of global underwritings.
China non-life insurance industry in 2017
China is also the world's second largest non-life insurance market, significantly contributing to the growth of the industry internationally.
In 2017, non-life premiums rose by 10% in China, well above the global market rate set at 5.4%.
Ranking of Chinese insurers and 2017 turnover
- Ranking of life domestic insurers [5]
- Ranking of non life domestic insurers [6]
- Ranking of foreign life insurers [7]
- Ranking of foreign non life insurers [8]
China : Main economic highlights 2007-2017
| 2007 | 2017 | |
|---|---|---|
Annual GDP’s growth rate | 14.23% | 6.2% |
GDP | 3 552 billion USD | 12 238 billion USD |
Population | 1 317 885 000 inhabitants | 1 386 395 000 inhabitants |
Total life and non-life premiums | 92.460 billion USD | 541.450 billion USD |
Total life premiums | 58.670 billion USD | 317.570 billion USD |
Total non life premiums | 33.790 billion USD | 223.880 billion USD |
Share of the global insurance market | 2% | 11% |
Insurance penetration rate | 2.7% | 4.6% |
Market density | 70.158USD | 390.545USD |
Number of local insurance companies | 62 | 119 |
Number of foreign insurance companies | 45 | 50 |