Hong Kong’s total gross insurance premiums climbed to $827 billion in 2025, a 29.7% increase from the previous year, according to provisional statistics released by the Insurance Authority (IA) on Friday.

The figures reflect broad-based growth across both long-term and general business segments, although a major residential fire weighed on one part of the market.

Long-term business surges

New office premiums for long-term business, excluding retirement scheme business, rose 50.6% to $330.9 billion, driven largely by non-linked individual business, which increased 49.9% to $312.1 billion. Within that segment, participating business led growth at $282.8 billion, up 55.1%, while linked individual business expanded 65.4% to $18.5 billion.

Total revenue premiums from in-force business reached $718.5 billion, up 33.7%, with non-linked individual business contributing $632.7 billion. Retirement scheme business recorded the sharpest increase among sub-segments at 38%, reaching $49.3 billion. Total claims and benefits paid rose a more modest 3% to $363 billion.

As of Dec. 31, 2025, total assets under long-term business stood at $5,398 billion, with net assets of $744.3 billion, the IA reported.

General business profitable, with a notable exception

Total gross premiums for general business grew 8% to $108.5 billion, while overall operating profit surged 39.7% to $11.4 billion. However, underwriting profit declined 12.5% to $2.9 billion.

Direct business recorded a strong turnaround, with overall underwriting profit jumping 174.7% to $3.2 billion. Onshore accident and health business was a key driver, contributing $23.7 billion in gross premiums, up 10.8%.

In contrast, onshore property damage business suffered a sharp decline in underwriting profit, falling 97.2% to $15.8 million from $600 million the previous year. The IA attributed the drop to claims paid and reserves set aside by insurers following the fire at Wang Fuk Court.

Reinsurance inward business swung to an underwriting loss of $400 million from a $2.1 billion profit, a 118.1% deterioration, driven by weaker results in offshore property damage, general liability, and accident and health segments.

Total assets under general business reached $337.9 billion at year-end, with net assets of $136.5 billion.

The IA’s full provisional statistics and related market data are available on its official website.