India leads major insurance markets at 7.1%: Swiss Re

Life premiums are projected to rise about 7% following tax and regulatory changes.

Asia’s insurance markets are expected to grow faster than the global average in 2026, led by life insurance demand in India and China.

Global insurance premiums are forecast to grow by 1.3% in real terms this year, according to Swiss Re Institute. 

India is expected to be the fastest-growing market amongst the world’s 20 largest insurance markets, with total real premium growth of 7.1%.

India’s life insurance premiums are forecast to rise by about 7% in 2026, supported by tax and regulatory changes. Health insurance demand and continued growth in motor cover are also expected to support the country’s non-life market.

China’s life insurance market is forecast to grow by about 6% in real terms, down from 9.4% in 2025. Demand for savings products is expected to remain firm, helped by product changes and deposits reaching maturity.

Growth in China’s non-life market is expected to slow to 2.9% from 3.7% in 2025. This is well below its average annual growth rate of 7.9% between 2015 and 2024. 

Swiss Re said slower economic activity and weak consumer confidence would affect personal insurance lines, particularly motor.

In advanced Asia-Pacific markets, life insurance premium growth is forecast to slow to 2.5% in 2026 from 8.4% in 2025. 

Japan is expected to record growth of 0.3%, as its ageing and shrinking population limits demand for traditional life protection.

Australia’s real life premium growth is forecast at 0.7%, as inflation offsets support from higher household incomes and immigration.

Non-life insurance in advanced Asia is expected to perform better, with real premium growth rising to 2.1% in 2026 from 1.8% in 2025. 

Property insurance repricing following natural catastrophe losses is supporting growth in Australia, whilst higher repair costs are keeping motor insurance prices firm in South Korea.

Investment in artificial intelligence is also creating insurance demand across the region. Asian semiconductor exports rose by 74% from a year earlier, with Taiwan and South Korea among the main beneficiaries. 

Singapore and Malaysia are also expanding as semiconductor and data centre centres.

The investment is increasing demand for property, engineering, liability, cyber and business interruption insurance. 

However, large data centres and related power infrastructure can also create concentrated risks and require high insurance limits.

Higher interest rates are expected to support Asian life insurers’ investment income. 

At the same time, energy and supply-chain disruptions could raise motor repair, construction and property claims costs, particularly in markets that depend heavily on imported energy.