Kuwait Unit Linked Insurance Market 2025-2031

Kuwait Unit-Linked Insurance Plan (ULIP) market is positioned for expansion, underpinned by the strong performance and digital transformation of the country’s banking sector. The retail banking segment is projected to exceed market volume, with bank account penetration expected to rise by next year broadening the pool of financially included individuals.

Simultaneously, the formalization and expansion of Kuwait’s insurance sector are expected to play a critical role, with the market surpassing in 2022 and projected to grow at a CAGR of over 5% between 2023 and 2027. Regulatory measures such as mandatory health insurance for visitors, and proposed coverage for business travellers are driving insurance adoption and expanding the insured population, a key enabler for the penetration of life and investment-linked products. Moreover, with the population forecasted to grow at a CAGR of 1.7% through 2026, the addressable market for ULIPs is set to expand significantly.

Kuwait Unit Linked Insurance Market Overview

The Kuwait Unit Linked Insurance Market size is projected to grow at a CAGR of 3.4% during 2025E-2031F. The Unit-Linked Insurance Plan (ULIP) market in Kuwait is positioned for sustained growth, driven by the rapid advancement of digital commerce, robust banking infrastructure, and favourable macroeconomic conditions. The country’s accelerating digital transformation fueled by rising internet penetration and widespread adoption of digital banking is creating a solid foundation for integrated financial products such as ULIPs. Kuwait’s retail banking sector is expected to surpass, with bank account penetration projected to increase by next year, indicating broader financial inclusion. This momentum is reinforced by improving economic indicators. According to the IMF, Kuwait’s real GDP is expected to grow by in 2024, reflecting enhanced consumer confidence and financial activity.

Concurrently, the country is witnessing a surge in consumer spending and a decisive shift toward digital payments. In 2024, total consumer expenditure marked a year-on-year increase, largely driven by greater card usage and e-commerce activity. Point-of-sale (POS) transactions rose, while ATM withdrawals declined, underscoring a reduced reliance on cash. Online and mobile payments also grew, matching POS volumes reflecting the impact of high mobile penetration and a digitally engaged, youthful population. Additionally, the ULIP market stands to benefit from Kuwait’s growing investment income. The sharp increase in portfolio investment outflows to signals robust global yield-seeking behavior and a preference for fixed-income and equity-linked instruments further supporting demand for ULIP products that offer a combination of protection and market-linked returns.

Kuwait Unit Linked Insurance Market Segmentation

Market Segmentation by Type

By 2031, Shariah-Compliant ULIPs are expected to experience the highest growth in Kuwait’s unit linked insurance market, driven by the increasing demand for ethical and Shariah-compliant investment products. As more Kuwaiti investors seek financial solutions that align with their religious beliefs, the popularity of these products would continue to rise. This growth would be further supported by the expanding awareness of Shariah-compliant financial instruments and the increasing preference for investment products that offer both ethical assurance and attractive returns.

Market Segmentation by Policy Term

By 2031, Long-Term (Above 15 Years) policies are expected to experience the highest growth in Kuwait’s unit linked insurance market, driven by the increasing preference for long-term wealth accumulation and retirement planning. As more individuals prioritize financial security and long-term investment strategies, the demand for extended policy terms will rise, leveraging the compounding benefits of long-term investments.

Market Segmentation by End-User

By 2031, Corporate/Group Insurance Buyers are expected to experience the highest growth in Kuwait’s unit linked insurance market, driven by the increasing adoption of employee benefit programs and corporate wellness initiatives. As more organizations recognize the value of offering comprehensive insurance products to attract and retain talent, the demand for group-based investment-linked insurance policies would rise.

Key Attractiveness of the Report

• 10 Years Market Numbers.
• Historical Data: Starting from 2021 to 2024
• Base Year: 2024
• Forecast Data until 2031
• Key Performance Indicators Impacting the Market.
• Major Upcoming Developments and Projects.

Key Highlights of the Report:

• Kuwait Unit Linked Insurance Market Overview
• Kuwait Unit Linked Insurance Market Outlook
• Kuwait Unit Linked Insurance Market Forecast
• Historical Data and Forecast of Kuwait Unit Linked Insurance Market Revenues for the Period 2021-2031F
• Historical Data and Forecast of Kuwait Unit Linked Insurance Market Revenues, by Type, for the Period 2021-2031F
• Historical Data and Forecast of Kuwait Unit Linked Insurance Market Revenues, by Policy Term, for the Period 2021-2031F
• Historical Data and Forecast of Kuwait Unit Linked Insurance Market Revenues, by End-User, for the Period 2021-2031F
• Industry Life Cycle
• Market Drivers
• Market Trends
• Key Performance Indicators
• Key Strategic Recommendation
• Kuwait Unit Linked Insurance Market Top Companies Revenue Ranking
• Market Scope and Segmentation

The report provides a detailed analysis of the following market segments:

By Type

• Equity-Linked ULIPs
• Shariah-Compliant ULIPs
• Hybrid/Balanced ULIPs
• Debt-Linked ULIPs

By Policy Term

• Medium-Term (6-15 Years)
• Long-Term (Above 15 Years)
• Short-Term (Up to 5 Years)

By End-User

• Individuals (Salaried, HNIs, Self-employed)
• Corporate/Group Insurance Buyers