Life Insurance in Israel is Consolidated Sector: Ken Research

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Life Insurance in Israel is Consolidated Sector
Ken Research
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Ken Research has recently announced its
publication titled, Life Insurance in Israel,
Key Trends and Opportunities to 2019, which aims
at providing in-depth market analysis of Israels
life insurance segment. It further provides
information about growth prospects, distribution
channels, top life insurance companies and
historic value of review period (2010-14) and
projected value of forecast period
(2014-19). The life insurance segment of capital
market division manages variety of issues
including supervision and regulation of insurance
companies and its agents. Looking at the Israels
life insurance segment, it was the largest
segment of Israels insurance industry in 2014
having accounted for 51.6 of the Israeli
Insurance industry's gross written premium in
2014. This report aims at providing in-depth
market analysis of Israels life insurance
segment. It further provides information about
growth prospects, distribution channels, top life
insurance companies and historic value of review
period (2010-14) and projected value of forecast
period (2014-19)
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Various categories of life insurance plans
in Israel are explained in figure below
The Israeli life insurance segment is highly
consolidated, with the five leading insurers
accounting for more than 90 of the segment's
gross written premium in 2014. This high degree
of consolidation and low competitiveness in life
insurance department of Israel has great impact
on insurance rates in Israel. Insurance is
dominated by five leading market players i.e.
Migdal, Clal, Harel, Phoenix and Menorah-Mivtahim.
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• Further, 11 insurers licensed to conduct life
  insurance business in Israel.Share of these firms
  in life insurance segment are given in the table
  below
• Rising profitability in Israels life insurance
  segment
• Fast pace expansion of life insurance business is
  observed with substantially high profit levels.
  Remarkable stability and extraordinary
  profitability has been witnessed in life
  insurance saving products. These products are
  associated with low risk and high profitability.
• Israel life insurance commission (in percent of
  gross premium)

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• Recent trends also show positive growth of life
  insurance industry of Israel. Key macroeconomic
  trends that show modest growth of life insurance
  sector are
• According to OECD global insurance statistics,
  annual real gross premium growth was 2.7 p.a.
  (2012-13)
• According to OECD global insurance statistics,
  nominal growth in gross claim payment was 2.2
  p.a. (2012-13)
• Gross written premium of Israels life
  insurance segment rose from USD 5.6 Billion IN
  2010 to USD 8.6 Billion IN 2014.
• The life insurance segment accounted for 51.6
  of Israelis insurance industrys gross written
  premium in 2014.
• The life insurance segments share is expected to
  increase from 51.6 in 2014 to 55.3 in 2019.
• Key Macroeconomic Trends Driving Growth of Card
  Industry in Denmark
• Life insurance industry is projected to grow
  further in Israel but however growth is expected
  to be continue at a slower pace than before.

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• Some macroeconomic factors driving growth in
  Israels life insurance segment are
• Rising life expectancy and aged population
• Population above 65 years of age is increasing
  rapidly from 0.84 million in 2010 to 0.90 million
  in 2014. Further according to the World Bank,
  Israel has one of the highest life expectancy in
  the world i.e. 82 years. These factors are
  leading to increasing awareness about life
  insurance in the citizens of Israel. Further,
  citizens are investing more in life insurance
  policies to comfortably support their old age.
• Strong growth of GDP contributing to growth of
  life insurance market
• Israel has shown stupendous economic growth and
  has shown better growth than other OECD nations
  in last 5 years. Nominal GDP and per capita GDP
  are both increasing significantly.

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This strengthening of GDP of Israel is playing a
pivotal role in rising demand for life insurance
products in economy driving growth of life
insurance sector of Israel. Strong agency
network Strong agency network, customer support,
strong advertising campaigns are also creating
awareness amongst people which is also a factor
contributing to fast pace expansion of insurance
market in Israel. Recent pension
reforms Individuals who started saving after
January 1995 period can switch these savings to
insurance policies and provident funds without
any tax deductions or fine payment. This also
aided in improvement of insurance industry of
Israel.
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To know more on coverage, click on the
link https//www.kenresearch.com/banking-financial
-services-and-insurance/insurance/life-insurance-i
srael-key/25243-93.html Related Reports The
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Trends and Opportunities to 2020 Contact Ken
Research Ankur Gupta, Head Marketing
Communications query_at_kenresearch.com 91-124-42302
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