Life Insurance in New Zealand - Market Research Report

error_outline Covid-19 Impact Update - Life Insurance in New Zealand

IBISWorld's analysts constantly monitor the industry impacts of current events in real-time – here is an update of how this industry is likely to be impacted as a result of the global COVID-19 pandemic:

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The COVID-19 outbreak is anticipated to have little effect on the Insurance and Superannuation Funds subdivision.

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Claims are not expected to rise significantly for general insurers due to exclusions on standard travel and business interruption policies. Most insurers have exclusions relating to pandemic and virus-related claims. Customers may be insured if they purchased travel insurance prior to the COVID-19 outbreak becoming a known event. Life insurers and reinsurers are not expected to be affected unless the outbreak escalates significantly.

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The outbreak will likely have a short-term effect on investment returns for superannuation funds, but the long-term nature of investing in superannuation means these operators have a greater ability to withstand volatility in sharemarkets compared with other market participants.

Note: The content in this report is currently being updated to reflect the trends outlined above.

Life Insurance industry trends (2014-2019)

poll Average industry growth 2014–2019: 1.0%

The Life Insurance industry has recorded revenue growth over the past five years, despite falling demand for industry products. This revenue growth has stemmed from annual contractual premium increases on existing policies that account for inflation and the higher risk associated with covering an ageing policyholder. However, net new business has remained negative over the past five years as premiums from new business continue to be offset by lost premiums from lapsed and cancelled policies. Overall, industry revenue is expected to grow at an annualised 1.4% over the five years through 2019-20. Rising premiums for existing policyholders and stronger investment income are anticipated to continue driving revenue growth in the current year, with revenue...
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Life Insurance industry outlook (2019-2024)

poll Average industry growth 2019-2024: x.xlockPurchase this report or a membership to unlock the average company profit margin for this industry.

The Life Insurance industry's revenue growth is projected to slow over the next five years as demand for life insurance continues to stagnate. Market penetration is anticipated to continue shrinking over the period, although contractual rises in premiums for existing policyholders will likely support revenue growth. Net new business is forecast to remain negative over the next five years as lapse rates continue to offset new business. Confidence in the industry will remain a significant issue, as highlighted by the recently completed review into life insurers' conduct and culture, and the conflicts of interest arising for insurance brokers and financial advisers that earn large up-front commissions on policies sold. With demand for life insurance slo...
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Life Insurance industry statistics

  • attach_money Market Size: $4bn
  • business Number of Businesses: 56
  • poll Average Industry Profit Margin: x.x%
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  • supervisor_account Industry Employment: 1,957

Biggest companies in the Life Insurance industry

The companies holding the largest market share in the Life Insurance in New Zealand industry include AIA International Limited, AMP Life Limited, Asteron Life Limited, Fidelity Life Assurance Company Limited and OnePath Life (NZ) Limited.

  • pie_chart AIA International Limited Market Share: x.x%
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  • pie_chart AMP Life Limited Market Share: x.x%
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  • pie_chart Asteron Life Limited Market Share: x.x%
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  • pie_chart Fidelity Life Assurance Company Limited Market Share: x.x%
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  • pie_chart OnePath Life (NZ) Limited Market Share: x.x%
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What is Life Insurance industry?

Industry Definition

Industry operators provide life insurance and life reinsurance cover. Life insurance generally involves the insurer paying out the beneficiaries of the policy in the event of death, disablement, serious illness or injury for the insured individual.

Industry Products and Services

  • Individual lump sum risk
  • Individual disability income insurance
  • Group life insurance
  • Other life insurance products
  • All Others

Industry Activities

  • Term life insurance
  • Permanent life insurance
  • Annuities
  • Income protection

Market research report - table of contents

Industry Definition

Industry operators provide life insurance and life reinsurance cover. Life insurance generally involves the insurer paying out the beneficiaries of the policy in the event of death, disablement, serious illness or injury for the insured individual.

Main Activities

  • Term life insurance
  • Permanent life insurance
  • Annuities
  • Income protection

Similar Industries

Additional Resources

Industry Statistics Snapshot

Industry Structure

Executive Summary

Key External Drivers

Real household discretionary income is an indicator of households' ability to take up life insurance. Some life insurance policies also have an investment...
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Real household discretionary income
Number of households
10-year bond rate
Population aged 50 and older

Current Performance

Rising profitability
Strong competition
 Chart: Revenue Growth

Industry Outlook

Regulatory environment
KiwiSaver life insurance
 Table: Life Insurance in New Zealand - Market Research Report Industry Revenue Outlook

Industry Life Cycle

Life Cycle Reasons
 Chart: Benchmarking - Life Insurance in New Zealand - Market Research Report Industry Lifecycle vs The Economy

Supply Chain

Key Buying Industries

Superannuation Funds in New Zealand
Consumers in New Zealand





Key Selling Industries

Superannuation Funds in New Zealand
Funds Management and Other Investment Services in New Zealand
Insurance Brokerage in New Zealand




Products & Services

The Life Insurance industry can be segmented based on policy revenue, as this segmentation represents the products purchased by consumers. Segments includ...
Commercial clients





Demand Determinants

Demand for life insurance is influenced by a range of factors including premium pricing, discretionary income, the median age of the population, governmen...
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Major Markets

Commercial clients






 Chart: Major Market Segmentation for the Life Insurance in New Zealand - Market Research Report Industry

International Trade

Business Locations

Chart: Business Locations by State Chart: Business Locations by State

Market Share Concentration

The Life Insurance industry displays moderate market share concentration. The four largest players are expected to account for over 60% of industry revenu...
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Key Success Factors

Cost Structure Benchmarks

Profit, Purchases, Wages, Other Costs
 Chart: Cost Structure Benchmarking – Sector vs Life Insurance in New Zealand - Market Research Report

Basis of Competition

Internal competition
External competition

Barriers to Entry

 Table: Barriers to Entry Checklist for the Life Insurance in New Zealand - Market Research Report Industry

Industry Globalization

AIA International Limited is a foreign-owned company providing life insurance in New Zealand. AIA International is ultimately owned by AIA Group, a Hong K...
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AIA International Limited

 Table: AIA International Limited - financial performance

AMP New Zealand

 Table: AMP New Zealand - financial performance

Asteron Life

 Table: Asteron Life - financial performance

Fidelity Life

 Table: Fidelity Life - financial performance

OnePath

 Table: OnePath - financial performance

Capital Intensity

The Life Insurance industry exhibits low capital intensity. The industry's capital intensity has increased slightly over the past five years. For every do...
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 Chart: Level of Capital Intensity for the Life Insurance in New Zealand - Market Research Report Industry
 Chart: Tools of the Trade: Growth Strategies for Success

Technology & Systems

Revenue Volatility

Chart: Volatility vs Industry Growth Chart: Volatility vs Industry Growth

Regulation & Policy

Industry Assistance

Table: Industry data Table: Industry Data for the Life Insurance in New Zealand Industry

Industry Revenue (2007-2026)
Industry Gross Product (2007-2026)
Establishments (2007-2026)
Businesses (2007-2026)
Employment (2007-2026)
Exports (2007-2026)
Imports (2007-2026)
Wages (2007-2026)
Domestic Demand (2007-2026)

Table: Annual Percentage Change for Key Industry Data Table: Annual Percentage Change for Key Industry Data

Table: Key Ratios for Industry Key Dat Table: Key Ratios for Industry Key Data

Table: Industry Financial Ratios Table: Industry Financial Ratios

Liquidity Ratios
Coverage Ratios
Leverage Ratios
Operating Ratios
Cash Flow & Debt Service Ratios (% of Sales)
Assets, %
Liabilities, %

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Included in Report

  • Industry Financial Ratios
    Industry Financial Ratios
  • Revenue Forecasts
    Revenue Forecasts
  • Historical and Forecast Growth
    Historical and Forecast Growth
  • Industry Market Size
    Industry Market Size
  • Industry Major Players
    Industry Major Players
  • Profitability Analysis
    Profitability Analysis
  • SWOT Analysis
    SWOT Analysis
  • Industry Trends
    Industry Trends
  • Industry Operating Conditions
    Industry Operating Conditions
  • Porter's 5 Forces Analysis
    Porter's 5 Forces Analysis

Why buy this report on the Life Insurance industry?

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This report on Life Insurance in New Zealand:

  • Provides Market Size information to assist with planning and strategic decisions.
  • Includes the necessary information to perform SWOT, PEST and STEER analysis.
  • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
  • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.

The Life Insurance in New Zealand market research report includes:

  • Historical data and analysis for the key drivers of this industry
  • A five-year forecast of the market and noted trends
  • Detailed research and segmentation for the main products and markets
  • An assessment of the competitive landscape and market shares for major companies
  • And of course, much more

IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Life Insurance in New Zealand, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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