Growth potential of the insurance sector in Brazil is highlighted in a MAPFRE study
According to the “Global Insurance Potential Index” (GIP), developed by Mapfre Economics, an area of the Mapfre Group dedicated to research and analysis on insurance, pensions, macroeconomics and finance, Brazil remains one of the ten countries with the greatest potential for growth in the insurance sector for the fourth year in a row. In the ranking, which analyzed 96 markets, the country remained in 8th place in the Non-Life segment and ranked 9th in the Life segment.
“Even in the face of so many challenges that we are experiencing, Brazil has maintained its great potential for the development of the insurance market, precisely because it is an economic power”, says Fernando Pérez-Serrabona, CEO of Mapfre Brasil. “The GIP shows that insurance has a specific representation in the economies of important countries, both developed and emerging, in addition to its social value of protecting people, families, goods, assets and companies”, he says.
For the executive, the Brazilian insurance market needs to follow its growth trajectory, taking advantage of the opportunities that the insurance culture has presented in the daily life of the Brazilian economy. “Society has shown itself to be increasingly aware that everything around it is interconnected and we have to take advantage of the moment to expand our operations, proving that the solutions that the insurance market offers are fundamental parts of its daily life”, he emphasizes.
The first five countries (China, United States, India, Russia and Indonesia) belong to the Life insurance markets considered Tier-1. They are followed by Germany, Turkey, Japan, Brazil and Mexico, which lead the top of Tier-2. The top four in this ranking maintain their relative positions in relation to the previous year, while Japan was surpassed by Indonesia. On the other hand, Germany rose one position and Turkey rose three positions, being the seventh economy with the greatest insurance potential in the Life branch. In relation to the previous year, there was a general increase in the insurance potential, with emphasis on the markets of Russia and Turkey.
Taking into account its insurance potential measured through GIP-MAPFRE, the top five positions in the Non-Life segment ranking are for China, the United States, India, Russia and Indonesia (Tier-1). The most important change within Tier-1 is the entry of Russia, which is positioned in fourth place, displacing Japan, which occupied that position in 2021 and is in seventh place this year. Corresponding to the Tier-2 group, Germany also occupies the sixth position above Japan, followed by Brazil, France and Mexico, highlighting the rise of France to the ninth position, while the United Kingdom fell three positions in relation to the estimate of the previous year, now in 12th place. In relation to 2021, there is an increase in the generalized potential of the Non-Life segment, with emphasis on the markets of Mexico, Brazil and Saudi Arabia.