The Insurance Authority (IA) of Hong Kong has published provisional data for the first quarter of 2025 (Q1 2025), indicating significant activity in both long term and general insurance segments.
The figures reflect ongoing shifts in market demand and regulatory context, with total gross premiums reported at HK$220.3 billion for the period.
Long term insurance business in Hong Kong saw new office premiums, excluding retirement scheme business, reach HK$93.4 billion in the first quarter. This marks a 43.1% increase compared to the same period last year.
The non-linked individual business segment contributed HK$90.1 billion, with participating business accounting for the majority at HK$81.7 billion.
Other non-linked business made up HK$8.3 billion, while linked individual business premiums rose to HK$3.2 billion, a substantial year-on-year increase.
Qualifying deferred annuity policies (QDAPs) remained a notable product, with approximately 35,000 policies issued and generating HK$2.2 billion in premiums. This represented 2.4% of total individual business premiums for the quarter.
Revenue premiums from in-force long term policies stood at HK$189.1 billion, up 31.1% from the previous year.
Non-Linked individual business contributed HK$169 billion, linked business HK$6.2 billion, and retirement scheme business HK$11.7 billion.
Total claims and benefits paid to policyholders reached HK$94.3 billion, reflecting a 7.4% decrease.
The IA has temporarily suspended the publication of separate statistics for Mainland visitors while it reviews data collection practices related to non-local policyholders.
General insurance business generated HK$31.2 billion in gross premiums and HK$20.6 billion in net premiums during the first quarter. Gross claims paid amounted to HK$12.2 billion.
The sector reported an overall operating profit of HK$2.7 billion, with underwriting profit at HK$0.9 billion.
Direct general insurance business accounted for HK$17.1 billion in gross premiums and HK$11.3 billion in net premiums, with gross claims of HK$6.7 billion.
Accident and health, general liability (including employees’ compensation), and marine, aviation, and transport were the leading lines, contributing HK$8 billion, HK$3.3 billion, and HK$2.2 billion in gross premiums, respectively.
Underwriting profit for direct business was HK$1.1 billion, primarily from general liability, pecuniary loss, and accident & health.
Reinsurance inward business generated HK$14.1 billion in gross premiums and HK$9.3 billion in net premiums, with gross claims of HK$5.5 billion.
Property damage, accident & health, and general liability were the main sources of gross premiums. This segment posted an underwriting loss of HK$0.2 billion, mainly due to general liability and motor vehicle business.
The IA noted that, following the introduction of the Risk-based Capital regime in July 2024, direct comparisons with previous years’ general insurance figures are not appropriate.
The latest statistics come as industry research provider GlobalData projects that Hong Kong’s general insurance market will expand at a compound annual growth rate of 5.1%, reaching HK$85.4 billion (US$10.9 billion) in gross written premiums by 2029.
The 2025 forecast, which excludes reinsurance inward premiums, estimates gross written premiums at HK$69.9 billion (US$8.9 billion).
Personal accident and health insurance is expected to remain the largest segment, accounting for 34.7% of general insurance premiums in 2025.
