Insurance premiums are expected to increase next year as the global economy strengthens, reinsurer Swiss Re has said today
The company said that non-life premium growth could reach 2% in advanced economies and 8% in the emerging markets. The company added that global premiums in the life market could reach 4% in 2014 and 2015.
'A return to economic growth in the mature markets is a good sign for insurance and we see a positive outlook for the next two years,' said Kurt Karl, Swiss Re's chief economist.
'Emerging markets, especially in Africa and Asia, will definitely provide some of the more spectacular growth figures in non-life business as cities grow and people look for financial protection for their property.'
However, the firm also said that life reinsurance premiums would continue to decline as regulatory changes reduce the demand in the US and in the UK. Reinsurance premiums in the emerging markets are expected to grow by 6% annually over the next few years.
