GITNUXREPORT 2025

Life Insurance Industry Statistics

Global life insurance industry valued at $2.84 trillion; market grows steadily worldwide.

Jannik Linder

Co-Founder of Gitnux, specialized in content and tech since 2016.

First published: April 29, 2025

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Statistic 1

The average duration of a life insurance claim process is approximately 4-6 weeks in most markets

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The death benefit claim ratio (claims paid vs. premiums earned) in the life insurance industry is approximately 65%, indicating a healthy risk profile

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The annual mortality rate in the world is approximately 7.7 deaths per 1,000 people, which influences life insurance mortality risk assessments

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The average duration of a typical life insurance claim process in Europe is approximately 3-5 weeks, depending on country and policy type

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Over 50% of the world's population do not have any form of life insurance coverage

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Millennials hold about 23% of all life insurance policies in the United States

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The average age of life insurance policyholders in the US is approximately 50 years old

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The top three reasons for purchasing life insurance globally are income replacement, funeral expenses, and estate planning

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Consumers tend to overestimate the cost of life insurance by nearly 50%, contributing to lower purchase rates

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In the US, Black and Hispanic Americans are underrepresented in life insurance ownership, with coverage rates of approximately 60% and 50%, respectively, compared to over 80% among White Americans

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Approximately 80% of millennials in the US prefer to purchase insurance policies online rather than through agents

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The average life insurance premium for seniors aged 65+ in the US is around $720 per year, which is higher than the average for all age groups

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In 2022, the top five reasons for declining life insurance applications were health issues, high premiums, lack of awareness, age, and lifestyle choices

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The majority of consumers in emerging markets prefer digital-first channels for purchasing life insurance, with over 60% indicating a preference for online platforms

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The percentage of women purchasing life insurance globally has increased to 42% in 2022, showing growing gender parity in the industry

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Asia-Pacific region holds the largest share of the global life insurance market, with over 55% of the total market volume

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In Europe, the penetration rate of life insurance is around 65%, with Western Europe exhibiting higher rates than Eastern Europe

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The majority of life insurance policies globally are term life, accounting for approximately 70% of policies

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The COVID-19 pandemic led to a 10% increase in new life insurance policy sales in the US in 2020

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The global life insurance industry employs over 6 million people worldwide

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Approximately 65% of new life insurance policies in developed countries are sold online

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In 2021, the fastest-growing segment in life insurance was variable universal life policies, with a growth rate of 12%

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The average term length for a life insurance policy globally is approximately 20 years

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The renewal rate for life insurance policies in the US rises annually, with about 75% renewal in 2022

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The digital channel now accounts for 30% of all life insurance policies sold globally, with expected growth to 45% by 2025

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The small and medium-sized enterprise (SME) sector increasingly relies on life insurance for employee benefits, accounting for over 25% of corporate policies globally

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The use of telematics and IoT devices is increasingly being integrated into life insurance underwriting, improving risk assessment

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Increased awareness and regulation have contributed to a 15% rise in life insurance premium costs in Europe from 2019 to 2022

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The global trend towards sustainable investing is influencing life insurance company portfolios, with over 30% of assets now allocated to ESG-focused investments

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The percentage of life insurance policies with riders (additional coverages) has increased to 40% globally, reflecting consumer demand for tailored coverage

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The adoption rate of artificial intelligence applications in life insurance underwriting is projected to reach 55% by 2025, streamlining processes and reducing costs

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Approximately 70% of life insurance claims are now initiated online, reflecting changing consumer behaviors

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The average commission rate for life insurance agents in the US is around 60% of the first-year premium, decreasing substantially in renewals

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The global microinsurance segment, including small life policies, is growing at a CAGR of 8%, targeting underserved populations

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The proportion of digital-only life insurance companies globally has increased to 25% as of 2023, with growth driven by fintech innovations

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The global life insurance industry was valued at approximately $2.84 trillion in 2022

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The U.S. life insurance industry paid out over $90 billion in death benefits in 2021

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The global life insurance market is expected to grow at a CAGR of 3.7% from 2023 to 2030

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In 2022, the number of life insurance policies in force worldwide reached approximately 3.2 billion

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The average life insurance premium worldwide increased to $480 in 2022

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The penetration rate of life insurance in India is around 3.2%, which is significantly lower than global averages

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In Africa, life insurance penetration remains below 2%, representing a significant growth opportunity

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In 2022, the top three life insurance companies by global market share were Ping An, China Life, and Allianz

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The total global premium income from life insurance in 2022 was estimated at around $2.3 trillion

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Life insurance benefits paid out in Asia-Pacific reached approximately $400 billion in 2021, with China leading the region

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The life insurance industry’s investment portfolios are estimated to hold over $4 trillion in assets, mainly in bonds and equities

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The number of life insurance policies in force in Latin America is around 600 million, with a projected annual growth rate of 4%

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The number of new life insurance policies issued in the US during 2022 was approximately 17 million, indicating steady market growth

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Life insurance companies worldwide held approximately $3.8 trillion in reserves as of 2022, ensuring solvency and capacity to pay future claims

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Key Highlights

The global life insurance industry was valued at approximately $2.84 trillion in 2022
Over 50% of the world's population do not have any form of life insurance coverage
The U.S. life insurance industry paid out over $90 billion in death benefits in 2021
The majority of life insurance policies globally are term life, accounting for approximately 70% of policies
The global life insurance market is expected to grow at a CAGR of 3.7% from 2023 to 2030
Asia-Pacific region holds the largest share of the global life insurance market, with over 55% of the total market volume
In 2022, the number of life insurance policies in force worldwide reached approximately 3.2 billion
The average life insurance premium worldwide increased to $480 in 2022
Millennials hold about 23% of all life insurance policies in the United States
The penetration rate of life insurance in India is around 3.2%, which is significantly lower than global averages
The average age of life insurance policyholders in the US is approximately 50 years old
The top three reasons for purchasing life insurance globally are income replacement, funeral expenses, and estate planning
The COVID-19 pandemic led to a 10% increase in new life insurance policy sales in the US in 2020

With a valuation soaring to $2.84 trillion in 2022 and over half the world’s population still uninsured, the global life insurance industry is both expanding and transforming at a rapid pace, driven by digital innovation, shifting demographics, and evolving consumer needs.

Claims and Policy Data

The average duration of a life insurance claim process is approximately 4-6 weeks in most markets
The death benefit claim ratio (claims paid vs. premiums earned) in the life insurance industry is approximately 65%, indicating a healthy risk profile
The annual mortality rate in the world is approximately 7.7 deaths per 1,000 people, which influences life insurance mortality risk assessments
The average duration of a typical life insurance claim process in Europe is approximately 3-5 weeks, depending on country and policy type

Claims and Policy Data Interpretation

While the industry’s 4-6 week claim turnaround and a robust 65% pay-out ratio showcase efficiency and stability, the 7.7 per thousand mortality rate underscores life's inevitable unpredictability—reminding us that in life insurance, timing is everything.

Consumer Demographics and Behavior

Over 50% of the world's population do not have any form of life insurance coverage
Millennials hold about 23% of all life insurance policies in the United States
The average age of life insurance policyholders in the US is approximately 50 years old
The top three reasons for purchasing life insurance globally are income replacement, funeral expenses, and estate planning
Consumers tend to overestimate the cost of life insurance by nearly 50%, contributing to lower purchase rates
In the US, Black and Hispanic Americans are underrepresented in life insurance ownership, with coverage rates of approximately 60% and 50%, respectively, compared to over 80% among White Americans
Approximately 80% of millennials in the US prefer to purchase insurance policies online rather than through agents
The average life insurance premium for seniors aged 65+ in the US is around $720 per year, which is higher than the average for all age groups
In 2022, the top five reasons for declining life insurance applications were health issues, high premiums, lack of awareness, age, and lifestyle choices
The majority of consumers in emerging markets prefer digital-first channels for purchasing life insurance, with over 60% indicating a preference for online platforms
The percentage of women purchasing life insurance globally has increased to 42% in 2022, showing growing gender parity in the industry

Consumer Demographics and Behavior Interpretation

With over half the world uninsured yet a rising digital appetite among millennials and emerging markets, the life insurance industry faces the paradox of aging policyholders, demographic disparities, and a common overestimation of costs—highlighting the urgent need for innovative, accessible, and accurate solutions to bridge the coverage gap.

Geographical Market Insights

Asia-Pacific region holds the largest share of the global life insurance market, with over 55% of the total market volume
In Europe, the penetration rate of life insurance is around 65%, with Western Europe exhibiting higher rates than Eastern Europe

Geographical Market Insights Interpretation

With Asia-Pacific claiming over half of the world's life insurance market and Europe boasting a robust 65% penetration—particularly in the west—the global insurance stage is clearly a tale of regional dominance and divergent growth narratives.

Industry Trends and Innovations

The majority of life insurance policies globally are term life, accounting for approximately 70% of policies
The COVID-19 pandemic led to a 10% increase in new life insurance policy sales in the US in 2020
The global life insurance industry employs over 6 million people worldwide
Approximately 65% of new life insurance policies in developed countries are sold online
In 2021, the fastest-growing segment in life insurance was variable universal life policies, with a growth rate of 12%
The average term length for a life insurance policy globally is approximately 20 years
The renewal rate for life insurance policies in the US rises annually, with about 75% renewal in 2022
The digital channel now accounts for 30% of all life insurance policies sold globally, with expected growth to 45% by 2025
The small and medium-sized enterprise (SME) sector increasingly relies on life insurance for employee benefits, accounting for over 25% of corporate policies globally
The use of telematics and IoT devices is increasingly being integrated into life insurance underwriting, improving risk assessment
Increased awareness and regulation have contributed to a 15% rise in life insurance premium costs in Europe from 2019 to 2022
The global trend towards sustainable investing is influencing life insurance company portfolios, with over 30% of assets now allocated to ESG-focused investments
The percentage of life insurance policies with riders (additional coverages) has increased to 40% globally, reflecting consumer demand for tailored coverage
The adoption rate of artificial intelligence applications in life insurance underwriting is projected to reach 55% by 2025, streamlining processes and reducing costs
Approximately 70% of life insurance claims are now initiated online, reflecting changing consumer behaviors
The average commission rate for life insurance agents in the US is around 60% of the first-year premium, decreasing substantially in renewals
The global microinsurance segment, including small life policies, is growing at a CAGR of 8%, targeting underserved populations
The proportion of digital-only life insurance companies globally has increased to 25% as of 2023, with growth driven by fintech innovations

Industry Trends and Innovations Interpretation

Despite the industry's digital boom, with 30% of policies sold online and AI set to streamline underwriting by 55%, the fact that 70% of policies are still term life and claim initiation has shifted predominantly online reminds us that in life insurance, traditional coverage remains the backbone, even as innovation accelerates.

Market Size and Value

The global life insurance industry was valued at approximately $2.84 trillion in 2022
The U.S. life insurance industry paid out over $90 billion in death benefits in 2021
The global life insurance market is expected to grow at a CAGR of 3.7% from 2023 to 2030
In 2022, the number of life insurance policies in force worldwide reached approximately 3.2 billion
The average life insurance premium worldwide increased to $480 in 2022
The penetration rate of life insurance in India is around 3.2%, which is significantly lower than global averages
In Africa, life insurance penetration remains below 2%, representing a significant growth opportunity
In 2022, the top three life insurance companies by global market share were Ping An, China Life, and Allianz
The total global premium income from life insurance in 2022 was estimated at around $2.3 trillion
Life insurance benefits paid out in Asia-Pacific reached approximately $400 billion in 2021, with China leading the region
The life insurance industry’s investment portfolios are estimated to hold over $4 trillion in assets, mainly in bonds and equities
The number of life insurance policies in force in Latin America is around 600 million, with a projected annual growth rate of 4%
The number of new life insurance policies issued in the US during 2022 was approximately 17 million, indicating steady market growth
Life insurance companies worldwide held approximately $3.8 trillion in reserves as of 2022, ensuring solvency and capacity to pay future claims

Market Size and Value Interpretation

With a global footprint valued at nearly $3 trillion and over 3 billion policies in force, the life insurance industry is both a testament to financial resilience and a vast, largely untapped frontier—especially in emerging markets like Africa and India—where growth potential is as promising as the cash reserves kept on hand to pay future claims.