Singapore insurers pay out over $8.3b in six months

Life claims alone climbed 11.1% year on year.

Over $8.3b (S$10.6b) was paid out in life and health insurance claims and maturity benefits to individuals and families in Singapore in the first half of 2026.

Life insurers paid $0.9b (S$1.14b) in claims for critical illness, death and total permanent disability under individual life policies in the first six months of the year, up 11.1% year-on-year (YoY) from the first half of 2025, the Life Insurance Association, Singapore (LIA Singapore) said.

A further $1.1b (S$1.45b) was paid out under individual health policies, most of it through Integrated Shield Plans (IPs) and IP riders. 

Health insurance claims payouts rose by $17.8m (S$22.8m) in the second quarter compared with the first.

Payouts to policyholders for matured policies came to $6.3b (S$8.02b) in the first half, up 50.6% YoY, money drawn from policies used for goals such as retirement, children's education and home ownership.

The growth in payouts came alongside a rise in new policy uptake, which LIA Singapore linked to a stronger economy. 

Demand was strongest for policies aimed at long-term savings and wealth accumulation, namely investment-linked and participating policies.

Investment-linked policies (ILPs), which combine insurance protection with market-linked investment returns, accounted for the largest share of new business.

Weighted new business premiums for ILPs rose 24.2% YoY, from $998.4m (S$1,280m) to $1.2b (S$1,590m), making up 44% of total weighted new business premiums.

Participating policies, under which policyholders receive bonuses or dividends from the insurer's investment returns, rose 25.4% YoY, from $561.6m (S$720m) to $704.3m (S$903m), holding a 25% share of total weighted new business premiums.

Non-participating policies made up the remaining 31% of new business in the first half.

Across the industry, total weighted new business premiums grew 21.4% YoY to $2.8b (S$3.63b), up from $2.3b (S$2.99b) in the same period last year.

LIA Singapore President Wong Sze Keed said Singapore's economy grew 6.3% YoY in the first quarter of 2026 and 5.7% in the second quarter, and that this stronger backdrop appeared to be giving Singaporeans more confidence to take a longer-term view of their finances.

She said this was reflected in the growth seen across both investment-linked and participating policies, as individuals and families sought to address protection and wealth management needs together.

($1.00 = S$1.28)