BMI View: The latest results from the leading players - in both of the main segments of the United States' insurance sector - highlight how the underlying businesses are mature. Nevertheless, demographic changes should underpin consistent growth in the life segment: this is at a time that organic growth will continue in the health insurance sub-sector (especially) and in most other parts of the non-life segment. Meanwhile, the companies themselves are focusing on profitability rather than on growth for its own sake. We remain of the view that the United States is one of the most dynamic and exciting of any that BMI monitors.
Almost all US insurance companies will benefit in the coming year from their ability to exploit leadership positions in particular niches; economies of scale; access to capital - regardless of corporate structure; suitably broad portfolios of products; multi-channel distribution; widely recognised brands and; innovation in terms of the products that they offer. External trends, such as the recovery in the stock market (and, consequently, improved investment earnings), the sustained growth in the economy and the relentless expansion of health insurance are additional positives. The United States' insurance sector is mature. However, it is also dynamic. Both the insurance companies themselves and their enormously diverse customers will likely benefit from the changes that are underway.
The prospects for the United States' insurance sector over the next year or so are dominated by three themes. First, the sustained, and likely to be continued, economic recovery has clearly had a positive impact on gross premiums in a number of sub-sectors. We are looking for property insurance premiums, for instance, to rise by a little over 8% in 2013 and by about 4% through 2014 and for the rest of the forecast period.
However, the expansion of health insurance should make the biggest difference in terms of additional premiums written, both in 2014 and in...
The United States Insurance Report has been researched at source and features Business Monitor International (BMI)'s independent assessment and forecasts for the insurance sector. It examines industry developments, key growth drivers and risk management projections, including the macroeconomic situation, government policy, regulatory environment and the level of development and potential for growth, broken down by line. Leading insurers are profiled, covering premiums, products and services and competitive positioning.
BMI's United States Insurance Report provides professionals, consultancies, government departments, regulatory bodies and researchers with independent forecasts and regional competitive intelligence on the American insurance industry.
- Benchmark BMI's independent insurance industry forecasts for United States to test other views - a key input for successful budgeting and strategic business planning in United States's insurance market.
- Target business opportunities and risks in United States through our reviews of latest industry trends, regulatory changes and major deals, investments and macroeconomic developments.
- Exploit latest competitive intelligence on your competitors, partners and clients via our Company Profiles (inc. SWOTs, KPIs and latest activity).
BMI Industry View
Summary of BMI's key industry forecasts and views, covering the Life and Non-Life segments, the evolving competitive landscape and business operational risks.
Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the insurance sector and within the broader political, economic and business environment.
Individual analysis of both Life and Non-Life insurance sector developments and prospects across developed states and emerging markets - supported by BMI's global industry growth forecasts. This is followed by an in-depth evaluation of region- and country-specific trends, focusing on BMI's country-by-country market growth data.
Business Environment Rankings
BMI's Insurance Business Environment Rankings provide a country-comparative Risk-Reward Rankings index aimed at investors (Life and Non-Life) in the insurance market.
The rankings methodology makes sophisticated use of over 40 industry, economic and demographic data points and is part of BMI's integrated Country Risk-Industry Rankings products.
BMI Industry Forecasts
Historic data series (2008-2012) and forecasts to end-2018 for key industry and economic indicators (see list below) supported by explicit assumptions, plus analysis of key risks to the main forecasts. Indicators include:
Premiums: Total (US$mn), growth (% y-o-y), penetration (% of GDP), density (US$ per capita) for Life and Non-Life sectors, and total premiums.
Life: Data on gross written premiums for all major non-life segments (e.g. motor, fire, work).
Non-life: Data on gross written premiums for all major life segments (e.g. life, retirement).
Economic: Nominal GDP (US$bn), real GDP growth (%), GDP per capita (US$), population (mn), unemployment (%), exchange rate (against US$).
Competitive Landscape & Rankings
Illustration of the insurance industry via rankings tables comparing gross written premiums by company (US$mn) and market share (%). This chapter also includes in-depth regional analysis of the market position, business strategies and investment potential of the leading insurance companies.
Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI's industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.