Hong Kong’s gross insurance premiums surged 35.5% to $73.2b in H1 2026, driven by a 58.4% rise in new long-term business premiums. General insurance operating profit also climbed 48.1% to $1.2b, supported by stronger underwriting results.

Staff Reporter

, Hong Kong

28 minutes ago

/Laurentiu Morariu from Unsplash

New business sales climbed 58.4% to $35.1b in the first half of 2026.

Hong Kong's total gross insurance premiums rose 35.5% year-on-year (YoY) to $73.2b (HK$573.6b) in the first half of 2026, driven by growth in both long-term and general insurance business.

Long-term insurance business recorded $65.0b (HK$509.9b) in revenue premiums from in-force policies, up 39.7% YoY, according to provisional figures released by the Insurance Authority (HKIA) on 23 October.

Insurers such as HSBC Life said it's New Business Premiums reached $8.5b (HK$66.8b) and Annualised New Premiums garnered $3.2b (HK$25.3b), with a market share of 24.3% and 23.3% respectively.

“Building on the strong momentum from the first quarter, we continued to see broad-based premium growth in the first half, supported by both local and offshore demand. High-net-worth customers remain a core segment, with insurance increasingly recognised as an important solution for wealth preservation and legacy planning," Daisy Tsang, CEO, HSBC Life Hong Kong, and Co-CEO, Insurance, HSBC, said in a press statement.

For Sun Life Hong Kong, the insurer's New business Annualised Premium Equivalent (APE) reached $930.9m (HK$7.3b) in the first half, up 44% YoY and outperforming overall market growth of 10%. 

Momentum continued in the second quarter, with new business APE up 19% YoY, it said in a separate press statement.

"Whilst market demand remains strong, individuals and families continue to face protection and retirement planning gaps. We remain focused on helping Clients build lifetime financial security by combining trusted expertise, innovative solutions and personalised experiences that empower them to navigate life's opportunities and uncertainties with confidence," said Clement Lam, CEO, Sun Life Hong Kong, said in the statement.

The HKIA data further showed that new office premiums, excluding Retirement Scheme business, increased 58.4% YoY to $35.1b (HK$275.2b).

Non-linked individual policies accounted for $33.5b (HK$262.9b) of new office premiums, up 57.8%. This included $31.3b (HK$245.4b) from participating business, which rose 63.7% YoY, and $2.2b (HK$17.5b) from other non-linked business, up 4.9% YoY.

Premiums from linked individual business increased 73.7% YoY to $1.5b (HK$12b).

Insurers issued about 33,000 Qualifying Deferred Annuity Policies, which generated $267.9m (HK$2.1b) in premiums, equivalent to 0.8% of total individual business premiums.

For in-force long-term policies, non-linked individual business generated $59.4b (HK$465.8b) in revenue premiums, up 44.8% YoY, whilst linked individual business contributed $2.3b (HK$17.8b), an increase of 40% YoY. Revenue premiums from Retirement Scheme business fell 16.7% YoY to $2.8b (HK$22.2b).

Total claims and benefits paid under long-term business declined 6.3% YoY to $22.9b (HK$179.8b).

As of 30 June 2026, total assets under long-term business stood at $743.8b (HK$5,831.5b), whilst net assets amounted to $101.9b (HK$799.2b).

General insurance gross premiums increased 9.1% YoY to $8.1b (HK$63.7b) in the first half of 2026. Net premiums rose 5.7% YoY to $5.4b (HK$42.1b), whilst gross claims paid increased 22.2% YoY to $4.0b (HK$31.3b).

The sector's overall operating profit rose 48.1% YoY to $1.2b (HK$9.6b), supported by a 253.1% YoY increase in underwriting profit to $739.8m (HK$5.8b).

Direct insurance business recorded $4.0b (HK$31.7b) in gross premiums, up 3% YoY, whilst net premiums fell 0.7% YoY to $2.7b (HK$20.9b). Gross claims paid rose 37.9% YoY to $2.4b (HK$19b).

Onshore Accident & Health insurance remained the largest contributor to direct business gross premiums, generating $1.8b (HK$14.3b), up 7.8% YoY. Onshore Employees' Compensation premiums fell 17.5% YoY to $446.4m (HK$3.5b).

Gross premiums from offshore Marine, Aviation and Transport insurance increased 18.1% YoY to $191.3m (HK$1.5b).

Underwriting profit from direct business rose 241.3% YoY to $599.5m (HK$4.7b). The main contributor was onshore Pecuniary Loss business, including mortgage guarantee insurance, which swung from a loss of $38.3m (HK$0.3b) to a profit of $395.4m (HK$3.1b).

Reinsurance inward business, which covers risks accepted by insurers from other insurance companies, recorded gross premiums of $4.1b (HK$32.1b), up 15.8% YoY. Net premiums increased 12.9% YoY to $2.7b (HK$21.3b), whilst gross claims paid rose 3.9% YoY to $1.6b (HK$12.3b).

Offshore Property Damage business generated $1.4b (HK$10.7b) in gross premiums, up 4% YoY, whilst offshore Accident & Health business premiums increased 56.7% YoY to $918.4m (HK$7.2b).

Underwriting profit from reinsurance inward business climbed 317.5% YoY to $140.3m (HK$1.1b), mainly supported by offshore Property Damage business.

Across the general insurance business, direct onshore premiums totalled $3.6b (HK$28.6b), up 2% YoY, whilst direct offshore premiums rose 13.1% YoY to $382.7m (HK$3b).

Reinsurance inward onshore premiums increased 2.4% YoY to $574.0m (HK$4.5b), and offshore premiums grew 18.4% YoY to $3.5b (HK$27.5b).

As of 30 June 2026, total assets under the general insurance business stood at $45.7b (HK$358.5b), with net assets of $17.8b (HK$139.8b).

($1 = HK$7.8)