GCC Bancassurance Global Market Report 2024

The GCC bancassurance market size has grown strongly in recent years. It will grow from $21.35 billion in 2023 to $22.59 billion in 2024 at a compound annual growth rate (CAGR) of 5.8%. The growth observed in the historical period can be attributed to factors such as market competition and the pursuit of differentiation, the evolution of regulatory frameworks, increasing consumer demand for convenience, rising income levels, and the integration of digitalization and technology.

The GCC bancassurance market size is expected to see strong growth in the next few years. It will grow to $28.53 billion in 2028 at a compound annual growth rate (CAGR) of 6.0%. The anticipated growth in the forecast period can be attributed to the utilization of advanced analytics and AI, augmented by enhanced education and awareness campaigns. Additionally, growth is expected through market penetration in underinsured segments, the expansion of wealth management and high net worth segments, and a concerted focus on personalization and customer-centric solutions. Major trends expected in the forecast period include the widespread adoption of advanced analytics and data-driven insights, regulatory changes and market liberalization, the integration of digital transformation and fintech, a rise in customer demand for one-stop services, and an ongoing emphasis on customer-centric solutions.

The anticipated growth in the demand for health and life insurance is set to drive the expansion of the GCC bancassurance market in the future. Life insurance serves as a policy designed to provide financial protection for the insured person's family, beneficiaries, or designee in the event of the insured's injury. Health insurance, on the other hand, acts as a form of personal and family protection against adverse outcomes, such as fatality resulting from financial hardships. GCC bancassurance facilitates banks in offering insurance products through collaborations with insurers, representing one of the alternative distribution strategies employed by insurance companies in the GCC region. For instance, in June 2021, claims payments in the life sector across 53 reporting countries increased by an average of 7.3%, as reported by the Organization for Economic Co-operation and Development (OECD). Consequently, the growing need for health and life insurance is a driving force behind the growth of the GCC bancassurance market.

The increasing population is expected to fuel the growth of the GCC bancassurance market in the foreseeable future. Population refers to the total number of individuals residing in a country, city, or other geographical areas. The rising population is such as to boost the demand for insurance products, including bancassurance services, as more individuals seek financial security and protection. According to the United Nations, the global population is projected to reach around 8.5 billion by 2030, 9.7 billion by 2050, and 10.4 billion by 2100. Therefore, the growing population is a driving factor for the growth of the GCC bancassurance market.

Technological advancements have emerged as a prominent trend gaining momentum in the GCC bancassurance market. Major companies operating in the market are actively incorporating advanced technologies to automate operations and fortify their market positions. For example, in November 2021, Mashreq Bank, a privately owned bank based in the UAE, introduced the ASSURE Banca Platform through a collaboration with UAE-based software company WayPoint System. This platform aims to automate bancassurance operations, enhancing user experience, simplifying administration processes, and offering a sophisticated yet user-friendly client management experience.

Major players in the GCC bancassurance market are prioritizing strategic partnerships to strengthen their market presence. A strategic partnership involves a commercial collaboration between two or more businesses typically established through one or more business contracts. For instance, in August 2023, Star Health Insurance, an India-based health insurance company, formed a partnership with Standard Chartered Bank, a UK-based private bank. This collaboration enables the offering of health insurance solutions through SCB's 100 branches in 42 locations, as well as the distribution of Star Health's insurance products across its extensive branch network in India.

In March 2022, AIA Group Limited, a Hong Kong-based insurance and finance corporation, acquired Blue Cross from Bank of East Asia (BEA), a Hong Kong-based banking and financial services company, for $278 million. This acquisition broadens the relationship between AIA and BEA, encompassing a 15-year agreement to provide general personal lines insurance products. Blue Cross is a Hong Kong-based insurance company.

Major companies operating in the GCC bancassurance market report are Gulf Insurance Group K.S.C.P., MANAFA Capital, Startupbootcamp FinTech, Bahrain Kuwait Insurance Company B.S.C., AXA Cooperative Insurance Company, Elseco Ltd, Saudi Arabia's Public Investment Fund, Emirates Retakaful Ltd, Qatar Insurance Company Q.P.S.C., Oman Insurance Company P.S.C., Orient Insurance Company, Arab Insurance Group, Union Insurance Company P.S.C., Abu Dhabi Commercial Bank PJSC, Agricultural Bank of China Limited, Allianz SE, Anthem Inc., Assicurazioni Generali S.p.A., Metropolitan Life Insurance Company, National Bank of Abu Dhabi, BNP Paribas S.A., China Life Insurance Company Limited, Centene Corporation, Cooperative Insurance Company, Ping An Insurance Company of China Ltd., HSBC Holdings plc, Industrial and Commercial Bank of China Limited, Japan Post Holdings Co. Ltd., JPMorgan Chase & Co., Lloyds Bank Group.

The regions covered in the GCC bancassurance market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the GCC bancassurance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The primary categories of GCC bancassurance products include life bancassurance and non-life bancassurance. In life bancassurance, banks and insurance providers join forces to promote life insurance products. This category encompasses life insurance plans such as term insurance, endowment plans, and unit-linked insurance plans. Different model types in this context include pure distributor models, exclusive partnerships, financial holding models, and joint ventures.

The GCC bancassurance market research report is one of a series of new reports that provides GCC bancassurance market statistics, including GCC bancassurance industry global market size, regional shares, competitors with a GCC bancassurance market share, detailed GCC bancassurance market segments, market trends and opportunities, and any further data you may need to thrive in the GCC bancassurance industry. This GCC bancassurance market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.