The Key Players in Life Insurance Market in Latin America 2016-2020

Tuesday 19 July 2016, Amsterdam

The report, now available on ASDReports, recognizes the following companies as the key players in the life insurance market in Latin America: AXA, Bradesco Seguros, Itau Unibanco Holding, Mapfre, and Zurich Insurance.

Other Prominent Vendors in the market are: Allianz, American International Group (AIG), Aviva, Brasilprev, CNP, Grupo Nacional Provincial, Liberty Mutual, MetLife, and Porto Seguro.

Commenting on the report, an analyst said: One trend inciting growth in this market is the rising use of BPO for closed-book operations. Recently, there has been an improvement in capital management, leading to greater performance of different investments. Many life insurance vendors are working to achieve market leading investment performance. Such efforts may help vendors develop and sustain a huge asset base to harvest high profitability.

According to the report, one driver fostering growth in this market is the use of multiple channels to reach broader audience. In the last decade, Latin American countries have created an environment that is conducive to the growth of life insurance premiums. Conditions such as sound economic environments, product innovations, improvement in insurance regulations, and multiple distribution channels have also helped increase premium amounts. Life insurance regulatory bodies and other policyholders are encouraging healthy competition as low inflation has cast a positive effect on insurance premium growth.

Further, the report states that one challenge hampering this market’s growth prospects is the lack of standard financial models. Currently, life insurance companies do not use any specific financial models. The lack of such a system has resulted in several challenges, including inadequate underwriting practices. Therefore, insurance companies have come up with the cash flow testing and hedging models. These models help solve issues arising in the day-to-day operations, improve profit, and manage risks better.

The study was conducted using an objective combination of primary and secondary information including inputs from key participants in the industry. The report contains a comprehensive market and vendor landscape in addition to a SWOT analysis of the key vendors.