The property and casualty insurance market in Germany is estimated to grow at a CAGR of approximately 3%, during the forecast period.
In 2018, premium income in primary insurance exceeded EUR 200 billion for the first time ever, in 2018. Property and casualty insurance GWP (gross written premium) increased by 3.4% compared to the previous year. In 2018, GWP (gross written premium) were 70.66 EUR billion and in 2017 it was 68.32 EUR billion.
Property and casualty claims paid increased by a significant 4.7% to roughly EUR 52.5 billion. This increase was primarily driven by higher payouts to settle claims related to losses resulting from storms and other natural hazards. In the comprehensive insurance on buildings, payouts rose by 14.6% to nearly EUR 6 billion, in 2018. In 2018, the gross written premium of Motor insurance was increased by 3.6% to 27.92 billion EUR compared to the previous year 26.95 billion EUR in 2017.
Key Market Trends
Number of Contracts Increasing on Property and Casualty Insurance.
Auto, Property, Liability, accident insurance are the leading segments for the P&C insurers in Germany. Ever since the 2008 financial crisis took place, P&C insurance space found an increasing number of contracts being written as life insurance was considered less attractive. Yet, it is observed that the growth potential, with current business models in place, seems to be limited for the industry. The market is seemingly saturated and market Competition among the insurance carriers is becoming cut-throat. Industry veterans say the P&C insurance space is in the transformation phase as digitalization is influencing customer behavior and sales volumes.
Growing Fintech Start-ups
Germany is one of the leading European countries in the field of Fintech. Start-ups are often the driving force behind innovation, bringing new and disruptive products and services. The surge of business entrants of InsurTechs, based in other countries, is yet to be witnessed in Germany. Insurance markets are very complex. Language, market structure, legislation, the competitive environment, and consumer tastes tend to vary considerably from country to country. The probable simple roll-out to another country would most often end up as a redo from-scratch effort. Nevertheless, the increasing presence of foreign InsurTechs at events in the German industry and growing insurtech companies are expected to drive the insurance market in the coming years.
The report covers the major players operating in the property and casualty insurance market in Germany. The market is fragmented, the market is expected to grow during the forecast period, due to increase in insurtech start-ups and insurance contracts and other few contracts.
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.