General insurance in Singapore will continue to be growth-oriented, says GlobalData, and gross written premium is expected at $8.1 billion for 2029 from the previous year’s $6.0 billion in 2024 at a compound annual growth rate of 6.2% on account of revival of the economy, increased healthcare costs and rising premium in various fields of insurance.
The sector is seen to grow 8% in 2024 by robust performance in the construction industry, heightened demand for health insurance, and the overall revival of the economy. “The sector has experienced a fair amount of growth in the last few years,” observes Swarup Kumar Sahoo, senior insurance analyst at GlobalData. The construction industry has made the most significant contribution to that expansion.” With growing numbers in the age brackets and rising healthcare costs, demand for health insurance keeps growing.
Personal Accident and Health insurance segment would remain to be the biggest of Singapore general insurance market with a share of 23.5% GWP in 2024. In 2024, segment would grow at 9% mainly driven by increased spending on medical treatments and a higher premium charged from health insurers. Minister of Health unveiled a 35% MediShield premium rise from 2025. This will support growth in PA&H insurance at an expected rate of 6.9% between 2024 and 2029.
The second-biggest segment is motor insurance, which is likely to form 19.8% of GWP in 2024. . Growth is observed at 9.4%, which is driven by a 30% rise in the registration of vehicles during the first ten months of 2024. Growth in EVs, which also aligns with the Singaporean policy of phasing out internal combustion engine vehicles by 2040, also holds good for growth in the sector. The motor insurance category is expected to have a CAGR of 4.1% through 2029. Other insurance lines are all expected to be at 18.1% GWP in 2024, growing at a rate of 5.4%.
Construction and, specifically, public infrastructure development projects have been some major drivers. The Building and Construction Authority predicts that total construction demand is going to emerge between $32 billion and $38 billion in 2024. And it’s going to rise at a CAGR of 6.6% up until 2029. Liability insurance is expected to stand at 17.6% of GWP in 2024. Growth within this segment has been more than proportional with the advent of mandatory policies, that include professional indemnity and employers’ liability, which together make up 78% of liability business in 2023. This segment is supposed to grow with a CAGR of 6% from 2024-2029.
