Forecast: Households Life insurance and Annuity Entitlements in Australia

The insurance and annuity market in Australia has shown considerable fluctuations over the past decade. Starting from 2013, we observe a growth trend with some notable peaks and troughs. For instance, the value saw a significant increase in 2019, followed by modest growth in 2020 and a steep drop in 2022. As of 2023, the value stands at 134.01 Billion Australian Dollars, indicating a healthy rise compared to the previous year. Significant year-on-year variations highlight the market's volatility, with a notable 17.27% increase in 2019 and an 11.2% drop in 2022. The last five years’ CAGR stands at 3.95%, reflecting moderate average annual growth.

Future trends to watch for include the forecasted steady growth with a 5-year CAGR of 1.19% and 6.09% forecasted growth by 2028. Key factors likely to influence future trends include macroeconomic conditions, regulatory changes, and shifts in consumer behavior towards life insurance and annuity products.