|
|
 |
|
Viewing report
|
|
|
|
Australia Insurance Report 2012
Business Monitor International, Nov 2011, Pages: 64
Business Monitor International's Australia Insurance Report provides industry professionals and strategists, corporate analysts, insurance associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on Australia's insurance industry.
A casual glance at Australia’s insurance sector suggests that, relative to others in the Asia-Pacific (specifically Northeast Asia), it is fairly large and very mature. Many of the multi-national life companies that have very substantial operations elsewhere in the region have either never had a presence in Australi, or have left long ago. Unlike Canada, which is arguably the most comparable economy, Australia does not have any truly enormous multi-national life companies that are the peers of Manulife, Great-West Lifeco or Sun Life – although Australia’s QBE is a formidable player in commercial (especially) non-life insurance around the world.
However, in any analysis of Australia’s insurance sector, it is the strengths that are obvious. In the nonlife sector, three large non-life companies – two of which (IAG and Suncorp) are the result of waves of mergers over the years – understand risk and pricing discipline: this has been essential in a year of catastrophes of biblical proportions such as the floods in Brisbane and Southeast Queensland and the earthquakes in Christchurch. Niche risks are handled by specialist insurers in Australia who can build profitable businesses in the country. All of the big five European property and casualty reinsurers are active in Australia as well.
Life insurance companies in Australia tend to be integrated providers of wealth management solutions. Aside from AMP, which has a powerful brand, distribution networks and the benefits to be realised from its March 2011 purchase of the Australia and New Zealand operations of AXA Asia Pacific, most of the leaders are affiliated with the commercial banks (Commonwealth Bank/ Colonial First State, National Australia Bank/ MLC, Australia and New Zealand Banking Group/ OnePath and Westpac/BT/St George). This is a natural response to the key feature of Australia’s organised savings landscape: it is not dominated by life insurance but by the superannuation funds, whose assets under management – at around AUD1,350bn or AUD60,000 per person are enormous. The dynamics of the superannuation funds, and the prudent way in which the banks and insurance companies were managed before, during and after the events of 2008 mean that the mature life segment is resilient, if rather inwards looking (and highly competitive for investment managers and other service providers).
Product samples
A sample for this product is available. Please Login/Register to download this sample.
|
|
|
|
