Hong Kong Insurance Market Performance 2025

Provisional data released by the Insurance Authority (IA) regarding Hong Kong’s long-term insurance sector for the 2025 calendar year reveals a period of substantial fiscal activity and high policy volumes. During this twelve-month period, the market registered a total of 109,813 new direct long-term policies, reflecting the continued role of the administrative region as a significant hub for financial protection and wealth management.

Analysis of New Business Statistics

The new direct long-term business generated during 2025 was characterised by a balanced split between single and recurring premium structures. In terms of capital inflow, single premiums accounted for $21.1 billion (HK$162.0 billion). Simultaneously, the market recorded $22.0 billion (HK$168.9 billion) in annualised premiums. Collectively, these new business acquisitions provided coverage for 1.1 million lives, with total sums assured or annuities per annum reaching a valuation of $96.5 billion (HK$742.1 billion).

A granular examination of the product categories demonstrates that participating business—policies that allow holders to share in the profits of the insurance company—maintained its position as the primary market driver. This segment represented the largest portion of the industry by annualised premiums, contributing $19.5 billion (HK$149.7 billion) to the total.

Within the participating business category, whole life products emerged as the dominant instrument for policyholders. These products accounted for:

• $16.5 billion (HK$126.6 billion) in annualised premiums.

• $15.7 billion (HK$121.0 billion) in single premiums.

Other components of the participating segment included endowment products, which registered $1.0 billion (HK$7.9 billion) in annualised premiums. Furthermore, the combined figures for immediate and deferred annuities reached $1.5 billion (HK$11.2 billion), indicating a sustained interest in retirement-oriented financial planning amongst the insured population.

In-force Business and Market Scale

As of 31 December 2025, the breadth of the Hong Kong insurance landscape was further evidenced by the statistics for in-force business, which refers to all policies currently active and maintained. The total volume of direct long-term in-force business stood at 16.1 million policies. Although the number of individual lives covered under these active policies was recorded at 1.4 million, the scale of the financial commitment remained vast.

The total sums assured or annuities per annum for this in-force business reached a significant milestone of $1.4 trillion (HK$11.1 trillion). This figure underscores the long-term liability and capital protection managed by insurers within the jurisdiction.

Regarding the premiums receivable for the in-force sector, the IA figures indicate a total of $21.3 billion (HK$164.2 billion) in single premiums. For non-single (recurring) premiums, the total was recorded at $20.6 billion (HK$158.4 billion).

Regulatory Context

The Insurance Authority, established under the Insurance Ordinance (Cap. 41), is the independent regulatory body tasked with ensuring the stability of the Hong Kong insurance industry and protecting policyholders. The release of these provisional figures is part of the IA’s mandate to provide transparency and data-driven insights into market trends. The high concentration of whole life and participating products aligns with Hong Kong’s historical status as a preferred destination for long-term savings and life protection services within the broader Asian financial ecosystem.

These 2025 figures represent the collective performance of both authorised insurers and the intermediaries operating within the territory, highlighting the sustained demand for sophisticated insurance solutions amongst both domestic and international clients.