Global insurance demand will grow by an above-trend 3.3% in 2021 and 3.9% in 2022, says Swiss Re in its latest sigma report titled "World insurance: the recovery gains pace".
The global reinsurance giant forecasts a much faster rebound than from the global financial crisis (GFC) of 2008–09. The economic recovery and the strongest rate hardening for 20 years in non-life insurance commercial lines will push premiums 10% above pre-COVID19-crisis levels this year and lift the global insurance market to more than $7tn by the end of 2022.
In 2020, global real premiums fell 1.3%, about a third of the drop in GDP. As expected, premiums held up better in emerging markets (+0.8%) than advanced (-1.8%), largely due to the strength of China.