The Insurance coverage Authority (IA) has reported a rise in Hong Kong’s reinsurance gross premiums by 3.1% and web premiums by 0.2% for 2023, nonetheless, complete gross premiums decreased by 1.1% in comparison with 2022, totalling $549.7 billion.

Reinsurance gross premiums reached $18.1 billion within the yr, primarily pushed by the Property Harm and Accident & Well being sectors. Nonetheless, this progress was partly offset by declines within the Normal Legal responsibility and Pecuniary Loss sectors. Web premiums rose to $8.9 billion.

The online claims incurred ratio noticed a major rise from 44.6% to 55.8%, resulting in a considerable decline of 61.7% within the general underwriting revenue, which fell to $0.7 billion.

In distinction, the long-term insurance coverage enterprise skilled a 1.8% lower in complete income premiums, amounting to $482.4 billion.

Many of the income got here from Particular person Life and Annuity (Non-Linked) enterprise, which amounted to $423.4 billion, up by 2.6% in comparison with 2022.

Nonetheless, the general lower in 2023 is attributed to the Retirement Scheme enterprise, which declined by 34.3% to $29.3 billion, and the Particular person Life and Annuity (Linked) enterprise, which decreased by 16.8% to $23.6 billion.

Conversely, the overall enterprise sector noticed progress in complete gross and web premiums in 2023. Gross premiums surged by 4.1%, totaling $67.3 billion, whereas web premiums grew by 2.7%, reaching $43.3 billion.

Nonetheless, the overall gross claims elevated by 6.8%, with $32.1 billion paid. This resulted in a notable lower within the general underwriting revenue, which dropped from $4.2 billion to $0.8 billion.