Equity Indexed Life Insurance Market Report 2026

The equity indexed life insurance market size has grown rapidly in recent years. It will grow from $4.55 billion in 2025 to $5.1 billion in 2026 at a compound annual growth rate (CAGR) of 12.2%. The growth in the historic period can be attributed to increasing consumer interest in long-term savings instruments, expansion of life insurance penetration, growing awareness of wealth protection products, availability of diversified index-linked offerings, support from bancassurance channels.

The equity indexed life insurance market size is expected to see rapid growth in the next few years. It will grow to $8.36 billion in 2030 at a compound annual growth rate (CAGR) of 13.1%. The growth in the forecast period can be attributed to increasing demand for digitally enabled insurance products, rising preference for flexible premium structures, growing integration of ai-based underwriting, expansion of fintech-led insurance distribution, increasing focus on personalized financial planning. Major trends in the forecast period include increasing customization of indexed life insurance products, rising use of digital policy management platforms, growing demand for market-linked protection products, expansion of online distribution channels, enhanced focus on transparent policy structures.

Rising access to insurance products and services is expected to drive the growth of the equity-indexed life insurance (EIL) market. Insurance products or services refer to offerings provided by licensed insurers under state or federal insurance regulations. In recent years, accessibility has improved significantly, with online platforms facilitating the purchase of life and health insurance. Equity-indexed life insurance is becoming increasingly popular due to its generally lower premiums compared to comparable whole life insurance policies. For example, in December 2025, the Organisation for Economic Co‑operation and Development (OECD) reported that the average insurance penetration rate across OECD countries rose to 6.2% in 2024, up from 6% in 2023. Consequently, expanding access to insurance is fueling the growth of the equity-indexed life insurance market.

Economic growth also supports the expansion of the equity-indexed life insurance market. Economic growth refers to the sustained increase in a country’s production of goods and services, usually measured by GDP growth over time. During periods of economic expansion, higher consumer confidence encourages investment in financial products that combine protection with growth potential, making EIL policies - with guaranteed minimum interest rates and market participation - especially attractive. For instance, in June 2023, the OECD reported that the UK’s GDP growth was expected to be 0.3% in 2023 and projected to rise moderately to 1% in 2024. Therefore, stronger economic growth is contributing to the market’s growth.

Companies in the equity-indexed life insurance market are focusing on product enhancements through technological features such as index locks, which allow policyholders to secure an index’s value at a specific point in time, capturing gains or limiting losses in volatile markets. For example, in July 2024, Allianz Life in the US launched the Allianz Life Accumulator Indexed Universal Life (IUL) Insurance Policy. This product offers improved accumulation potential, flexible loan provisions, and innovative index lock features for better risk management. It also provides three new index options, including the S&P 500 Futures Index ER, Blended Futures Index, and Bloomberg US Dynamic Balance III ER Index, along with customizable features such as tax-deferred accumulation, death benefits, and accelerated death benefit riders for chronic or terminal illnesses.

Major companies operating in the equity indexed life insurance market are AXA Equitable Life Insurance Company, Ping An Insurance Group Company of China Limited, Swiss Reinsurance Company Ltd., Prudential Financial Inc., American International Group Inc. (AIG), AIA Group Limited, Berkshire Hathaway Inc., MetLife Inc., Assicurazioni Generali S.p.A., Zurich Insurance Group AG, Munich Reinsurance America Inc., Chubb Limited, The Allstate Insurance Company, Aviva plc, Manulife Financial Corporation, China Pacific Insurance (Group) Co. Ltd., Aflac Incorporated, John Hancock Financial, Mutual of Omaha Insurance Company, The Penn Mutual Life Insurance Company, Progressive Casualty Insurance Company, Protective Life Corporation, Symetra Life Insurance Company, Minnesota Life Insurance Company, National Life Group, Pacific Life Insurance Company, Tata AIG General Insurance Company Limited, Bajaj Allianz Life Insurance Company Limited, The Guardian Life Insurance Company of America, Massachusetts Mutual Life Insurance Company, New York Life Insurance Company.

North America was the largest region in the equity-indexed life insurance market in 2025. The regions covered in the equity indexed life insurance market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the equity indexed life insurance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The equity-indexed life insurance market includes revenues earned by entities by providing equity-indexed life insurance policies with coverage for death benefits, debts, lost income, educational finance, and medical expenses. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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