Life Insurance Carriers

Life Insurance Carriers
Brief Excerpt from Industry Overview Chapter:

Companies in this industry underwrite life insurance and related products including annuities, long-term care, disability, and accidental death and dismemberment policies. Major companies include MetLife, New York Life, and Prudential Financial (all based in the US), as well as AEGON (the Netherlands), AXA (France), Nippon Life (Japan), and Prudential (UK).

COMPETITIVE LANDSCAPE

Demand is driven by demographics and the economy. The profitability of individual companies depends on effective marketing and investment strategies and on the ability to accurately estimate future payments. Large companies take advantage of economies of scale in administration and in access to capital, as well as advertising and marketing. Small companies can compete successfully by providing specialized services to communities and organizations, such as current and former military personnel, church affiliations, and fraternal organizations. The US industry is highly concentrated: the 50 largest firms generate about 95% of industry revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major products include life insurance, which accounts for about half of industry revenue, followed by trading securities and health and accident insurance. Other products include reinsurance services, vehicle property and liability, and property and casualty insurance.