Hong Kong’s general insurance market is set to grow at a compound annual rate of 5.1%, reaching HK$85.4 billion (US$10.9 billion) in gross written premiums (GWP) by 2029, according to data from GlobalData.
The forecast builds upon the Hong Kong Insurance Authority’s (IA) provisional report for 2024, which recorded HK$100.5 billion in GWP across general insurance, including reinsurance activity.
GlobalData’s outlook for general insurance, based on projected 2025 GWP of HK$69.9 billion (US$8.9 billion), excluded reinsurance inward premiums – making it broadly consistent with the IA’s direct market figures, which showed HK$51.4 billion in direct general insurance premiums in 2024 and HK$69.7 billion in net premiums.
Health-related coverage remained the dominant business line. Personal accident and health (PA&H) policies are expected to comprise 34.7% of general insurance premiums in 2025. This aligns with the IA’s 2024 data, which showed HK$22.8 billion in PA&H premiums from direct business. Demand continued to come from both local and overseas clients, including individuals from Mainland China and the Middle East.
Swarup Kumar Sahoo, senior insurance analyst at GlobalData, said health-related products are in demand across both resident and non-resident segments.
“The growth of the general insurance industry in Hong Kong (China SAR) is supported by rising demand for personal accident and health insurance from local and non-local customers, including mainland Chinese residents, the unpredictability of climate events, and the increasing demand for cyber insurance,” he said.
The IA is preparing to distribute Arabic-language educational materials by mid-2025, as part of broader efforts to improve outreach to Middle Eastern consumers. Cross-border insurance sales are also supported by policy options denominated in Hong Kong and US dollars.
Property insurance, which accounted for HK$6.2 billion in direct premiums in 2024, is expected to hold a 22.2% market share by 2025.
GlobalData estimates 7.5% growth in this segment for 2025, following heightened awareness of climate-related risks such as typhoons and flooding. Insurers are revising risk models and exploring new products like parametric insurance.
General liability insurance, which includes employees’ compensation, recorded HK$12.1 billion in direct premiums last year. It is projected to comprise 22.1% of general insurance GWP in 2025 and grow at an annual rate of 3.4% through 2029.
Sahoo attributed the trend to the adoption of cyber insurance, particularly by small and medium-sized businesses facing compliance requirements and increased digital exposure.
The remaining 21.6% of the market is made up of motor, marine, financial lines, and transit-related policies, echoing the diversification seen in the IA’s figures. Reinsurance inward business added another HK$49 billion to the overall general insurance total for 2024.
Total gross claims paid in the general segment reached HK$53 billion, while the overall operating profit stood at HK$8.1 billion, supported by HK$3.3 billion in underwriting gains. A further HK$2.1 billion in underwriting profit came from reinsurance, primarily in property lines.
Sahoo noted that cross-border business with Mainland China will remain a key growth area but flagged potential trade tensions.
“The growth of Hong Kong’s general insurance market will continue to depend on Mainland China. The country’s super-aging population will present both challenges and opportunities for the general insurance industry. Furthermore, the growing demand for property and cyber insurance will enhance market penetration in the coming years. However, the expected reciprocal tariff from the US will change the dynamics and is expected to emerge as a threat to insurers’ profitability,” he said.
