How did the P&C insurance market double in size in 20 years?

Swiss Re projects premiums will grow in line with GDP over the next decade.

The global property and casualty (P&C) insurance market has doubled in size over the past 20 years to $2.4t, according to Swiss Re Institute’s latest sigma report. 

The study highlights two decades of innovation, broader access to coverage, and an expanding role for reinsurers and alternative risk solutions in supporting capacity.

Swiss Re projects P&C premiums will grow in line with GDP over the next decade, with total premiums expected to almost double again by 2040. 

Market concentration is easing as more specialised players and managing general agents take on distribution and underwriting roles.

Reinsurance premiums grew at around 7% annually over the past decade, compared with 4.2% for primary P&C, reflecting increased risk transfer to reinsurers.

Captives, public-private insurance pools, and residual market mechanisms have also grown, helping manage catastrophe and high-frequency risks.

In advanced markets, property insurance has expanded faster than GDP, whilst commercial liability lines in the US have accelerated on litigation inflation. 

In emerging markets, personal lines remain supported by motor penetration, whilst commercial growth follows rising corporate exposures. 

Emerging markets’ share of global premiums has held steady at 20% since 2014.

Swiss Re noted that advances in risk modelling and adoption of AI in underwriting will shape future competition, with reinsurers remaining a key pillar of market resilience.