Gross premiums of HK general insurance soar 4.5% in FY2022

The industry earned $64.6b.

The Hong Kong Insurance Authority (IA) reported a 4.5% growth in the total gross premiums of the city’s general insurance business for the full fiscal year (FY2022) ended 31 December 2022.

IA revealed in its financial report that the industry earned $64.6b of gross premiums for FY2022, with Accident and Health being the highest earner with $19b. The industry’s net premium had a 1.6% increase to $42.1b for the same year. However, the total gross claims decreased by 4.5% to $30b.

The report also revealed that the overall underwriting profit for the city’s direct insurance businesses grew by 67.5% to $2.2b, mainly contributed by the positive results achieved in the General Liability, Pecuniary Loss, and Property Damage businesses.

The report stated the gross premiums from the reinsurance inward business have an 11.7% increase to $17.6, and its overall underwriting profit increased to $1.9b.

According to IA, the growth in both gross premiums was due to the “substitution of direct business by reinsurance inward business in Ships business and new businesses in both Accident & Health business and Pecuniary Loss business.”

According to Edward Moncreiffe, CEO of HSBC Life Hong Kong, the demand for insurance has increased after Hong Kong opens up its borders, and promotion campaigns to attract tourists, including mainland visitors, are underway.