Why Taiwan insurance trails Asia’s high-growth markets

Life premiums reached $65.1b in 2025 with private savings still central to demand.

Taiwan’s insurance market remains one of Asia’s most developed, with insurance premiums equal to about 10% of GDP in 2025.

The report showed Taiwan recorded $11.4b (EUR9.8b) in property and casualty premiums, $65.1b (EUR56.1b) in life premiums and $15.1b (EUR13.0b) in health premiums in 2025, according to Allianz Research’s Global Insurance Report 2026. That put total premiums at around $91.5b (EUR78.9b).

Life insurance continued to dominate Taiwan’s market. Life premiums were equal to 7.2% of GDP, far higher than property and casualty insurance at 1.3% and health insurance at 1.7%.

On a per-person basis, Taiwan’s insurance spending stood at $492 (EUR424) for property and casualty, $2,816 (EUR2,428) for life and $650 (EUR560) for health.

Allianz said Asia’s life insurance market is supported by strong demand in advanced Asian economies such as Taiwan, South Korea and Singapore.

These markets rely more heavily on private savings and insurance products because public pension systems are less comprehensive than in some Western economies.

Taiwan’s outlook is steady, but not high-growth compared with markets such as India and China.

Allianz expects Taiwan’s property and casualty premiums to grow by an average of 4.8% a year from 2026 to 2036.

Life insurance is forecast to grow by 4.3% a year, whilst health insurance is expected to grow by 4.8% a year.

By 2036, Taiwan’s insurance premiums are projected to reach $19.0b (EUR16.4b) in property and casualty, $103.5b (EUR89.2b) in life and $25.1b (EUR21.6b) in health.

Globally, the insurance industry grew by 7.1% in 2025, reaching $8.0t (EUR6.9t) in premiums. Growth slowed from 9.4% in 2024, but remained above the 10-year average of 5.6%.

Life insurance remained the biggest global segment, with $3.32t (EUR2.86t) in premiums. Property and casualty reached $2.69t (EUR2.32t), whilst health insurance rose to $1.96t (EUR1.69t).

Allianz said much of the recent growth came from higher prices rather than wider insurance coverage. Global insurance penetration rose only slightly to 7.2% of GDP in 2025 and remained below the level seen a decade earlier.

The report said health insurance was the fastest-growing global segment in 2025, expanding by 12.3%.

Growth was driven mainly by higher medical costs and rising demand for private health coverage.

Asia is expected to remain the main source of long-term growth for the insurance industry.

Allianz forecasts the global premium pool will expand by $6.10t (EUR5.26t) by 2036, with more than half of the increase coming from Asia, including China.

The report also warned that climate risk is making insurance less affordable in some markets. Global insured natural catastrophe losses are rising by 5% to 7% a year in real terms. 

($1.00 = EUR0.86)