Market Trends of Sri Lanka Life & Non-Life Insurance Industry
Rising Digital Personalization in Life and Non-Life Insurance at Sri Lanka
More individualized and targeted products could be created through a more symbiotic relationship on data exchange between customers and insurers. Insurers can better unbundle products, breaking them down into different risk components and only pricing individuals or businesses for the relevant components. The customer gets a more personalized cover, and the insurer will be able to price it more accurately. Turning toward the broker community, the lack of digital enablement has become more apparent during the COVID-19 situation.
Rising Per-Capita GDP Witnessing Growth in Life & Non-Life Insurance Market of Sri Lanka
A strong positive correlation exists between the life insurance GWPs (gross written premiums) and real GDP (gross domestic product) growth as the rising per capita income drives life insurance penetration. The pandemic-induced demand for more life protection will receive further impetus from the envisaged growth in the Sri Lankan economy, which is poised to grow from the current year. Further, the rising incidence of non-communicable diseases and related deaths, which currently account for 83% of total deaths in Sri Lanka, is also expected to provide further momentum for people to sign up for health and life coverage.
