Barbados Insurance Report Q2 2016
BMI View: We hold a mixed outlook for the Barbados insurance sector over forecast period, from 2016-2020. The non-life sector, which constitutes about two-thirds of total domestic insurance industry premiums, has reached market maturity and premiums are expected to post only modest growth, from an estimated USD202mn in 2016 to USD215mn by end of 2020. Driving this contraction is the crucial property insurance line that has stagnated and is dampening total non-life growth prospects. The vital motor insurance line will post modest yet stable growth. Conversely, on the other hand, we hold a positive opinion of the life insurance segment of the Barbados. Premiums are expected to jump from an estimated USD98mn in 2016 to over USD163mn by the end of 2020, representing a strong average annual growth rate of 14.3%.
Key Updates Key Updates & Forecasts Forecasts
We are expecting the total insurance industry in Barbados to grow by 4.2% in 2016, with total gross underwritten premiums reaching USD300mn.
The Life insurance sector will post growth of 16.4% in 2016, with premiums reaching USD98mn, a figure we expect to exceed USD163mn by end of 2020.
Non-life premiums will post another year of contraction in 2016, driven by maturity in the property market. Non-life premiums will grow by an average annual rate of only 1.2% between 2016-2020, reaching USD215mn by end of our forecast period.
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.Download eBook