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The Office of the Commissioner of Insurance today (November 30) released provisional statistics of the Hong Kong insurance industry for the first three quarters of 2015.
Total gross premiums of the Hong Kong insurance industry in the first three quarters of 2015 amounted to $272.7 billion, representing an increase of 10.5 per cent over the corresponding period in 2014.
The total amount of revenue premiums of long term in-force business was $237.2 billion in the first three quarters of 2015, increasing by 11.9 per cent over the same period of 2014. Revenue premiums of Individual Life and Annuity (Non-Linked) business increased by 18.4 per cent to $186.1 billion whereas Individual Life and Annuity (Linked) business decreased by 16 per cent to $31.4 billion. Contributions of Retirement Scheme business grew by 16.3 per cent to $16.2 billion.
New office premiums (excluding Retirement Scheme business) of long term business for the first three quarters of 2015 increased by 16.2 per cent to $97.6 billion compared with the same period of 2014. Individual Life and Annuity (Non-Linked) business increased by 23.3 per cent to $88.3 billion. On the other hand, new office premiums of Individual Life and Annuity (Linked) business decreased by 26.2 per cent to $8.8 billion.
In respect of policies issued to Mainland visitors, new office premiums amounted to $21.1 billion, representing 21.7 per cent of the total new office premiums ($97.2 billion) for individual business in the first three quarters of 2015.
In the first three quarters of 2015, gross and net premiums of general insurance business both increased by 2.2 per cent to $35.5 billion and $24.8 billion respectively, compared with the corresponding period in 2014. Overall underwriting profit however declined from $2.4 billion to $1.5 billion.
On direct business, gross and net premiums increased by 4.9 per cent to $27.1 billion and 2.6 per cent to $19.9 billion respectively in the first three quarters of 2015 compared with the corresponding period in 2014, mainly driven by Accident & Health business (comprising Medical business) and General Liability business (comprising Employees' Compensation business). The former recorded a growth in gross premiums from $8.9 billion to $9.7 billion while the latter recorded a growth in gross premiums from $7.3 billion to $7.6 billion.
The underwriting profit of direct business dropped to $1.1 billion in the first three quarters of 2015 from $1.7 billion in the corresponding period of 2014. The underwriting profit of Accident & Health business and General Liability business decreased from $450 million to $213 million and from $350 million to $270 million respectively. In addition, the underwriting performance of Motor business showed a turnaround from a profit of $24 million to a loss of $83 million.
On reinsurance inward business, gross premiums decreased from $8.9 billion to $8.4 billion whilst net premiums remained at $4.9 billion in the first three quarters of 2015 compared with the corresponding period in 2014. Due to adverse claims experience, the underwriting profit dropped from $717 million to $412 million.
A summary of provisional statistics of the Hong Kong insurance business for the first three quarters of 2015 is at annex. Further details can be downloaded from the website of the Office of the Commissioner of Insurance: www.oci.gov.hk.
Ends/Monday, November 30, 2015
Issued at HKT 15:00
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