The net premium of general insurance in Malaysia exhibited a steady year-on-year growth from 2013 to 2023, with a notable peak in 2022 at 16.26 billion Malaysian Ringgit before reaching 16.59 billion in 2023. The period from 2013 to 2019 showed consistent growth averaging above 2%, though there was a slight dip of -2.81% in 2020 due to the pandemic. Recovery followed with 2022 exhibiting a significant rise of 7.49%. The Compound Annual Growth Rate (CAGR) for the past five years (2019-2023) stood at 2.22%.
The forecast from 2024 to 2028 suggests a gradual increase in net premiums, with a projected CAGR of 1.57% over these five years, resulting in an expected overall growth rate of 8.13% by 2028.
Future trends to watch for:
- Potential impacts of economic recovery post-pandemic on insurance demand.
- Increasing digitalization and insurtech adoption in the insurance market.
- Regulatory changes and their impact on insurance premiums and claim processes.
- Shifts in consumer behavior potentially driving demand in specific insurance segments such as health or cyber insurance.
- Climate change and natural disasters influencing risk assessment and premium pricing.
