Hong Kong insurance premiums surge 12.2% in 9M 2024

The period already shows signs of a rebound from the 1.1% fall in 2023.

Hong Kong’s insurers saw their total gross premiums increase by 12.2% year-on-year (YoY) in the first three quarters of 2024 (9M 2024) to HK$480.8b (US$62.5b), data from Hong Kong’s Insurance Authority (HKIA) showed.

This already shows a possible rebound from the 1.1% YoY contraction seen in 2023’s full-year performance.

For long-term business, new office premiums (excluding Retirement Scheme business) reached HK$169.6b (US$22.1b), an increase of 15.7% YoY.

Premiums from Mainland visitors fell slightly by 0.4% YoY to HK$46.6b (US$6.1b), representing 27.6% of total new office premiums for individual businesses.

Most policies purchased were settled at regular intervals, with whole life, critical illness, and medical policies accounting for 59%, 28%, and 5%, respectively.

Starting in 2025, statistics on business from Mainland visitors will be published semi-annually instead of quarterly, reflecting seasonal travel patterns.

Revenue premiums for long-term in-force business totalled HK$405.8b (US$52.8b), up 8.3% YoY, with HK$358.4b (US$46.6b) from Non-Linked individual business (up 8.7% YoY), HK$16.8b (US$2.2b) from Linked business (down 7.5% YoY), and HK$25.5b (US$3.3b) from Retirement Scheme business (up 14% YoY).

Claims and benefits paid to policyholders increased by 12.7% YoY to HK$270.2b (US$35.1b).

In general business, gross premiums amounted to HK$75b (US$9.8b), whilst net premiums reached HK$51.7b (US$6.7b).

Gross claims paid totalled HK$38.4b (US$5.0b), with an overall operating profit of HK$6.7b (US$0.9b) and an underwriting profit of HK$2.2b (US$0.3b).

Gross claims paid totalled HK$18.6b (US$2.4b), with an underwriting loss of HK$0.3b (US$0.04b).

(US$1.00 = HK$7.79)