Hong Kong’s insurance market to hit $127b by 2032

The city’s insurance penetration remains amongst the highest globally.

Hong Kong’s insurance market is poised for steady expansion, with market sise projected to grow from $80.38b (HK$629.29b) in 2025 to $127.02b (HK$994.43b) by 2032, according to Fortune Business Insights.

This reflects a compound annual growth rate (CAGR) of 6.8%, driven by increasing consumer awareness, cross-border activity with Mainland China, and a rising need for financial protection amidst economic and health-related uncertainties.

The city’s insurance penetration remains amongst the highest globally, fueled by shifting consumer preferences and the widespread recognition of insurance as a financial safety net.

Both life and non-life segments are expected to benefit from this growth, though life insurance continues to dominate due to heightened awareness of long-term financial planning and retirement needs.

Resumption of cross-border travel is also expected to spur demand, especially from Mainland Chinese visitors. 

Life insurance led the market in 2024 and is expected to record the fastest growth, underpinned by robust policy sales and increased public awareness of income protection.

Non-life insurance—including property, health, and motor—also remains a vital contributor, with growing demand for general liability and health policies supporting premium volumes.

With structural and demographic trends aligned in its favour, Hong Kong’s insurance market is set to maintain a healthy growth trajectory through the next decade, anchored by innovation, integration with Mainland China, and a growing appetite for financial protection across all segments of the population.