A report released by UK based Research and Markets Inc entitled, ‘Insight Report: Emerging Markets – Identifying Sources of Growth in the Insurance Industry’ identifies says Kenya leads, followed by Mexico, Indonesia, Turkey and Vietnam, beating the BRIC bloc of Brazil, Russia, India and China, now recognised as the newest industrialised nations.

Urbanisation coupled with improved infrastructure and industrialisation has helped Kenyans access higher disposable incomes, gradually bringing economic development which has created new opportunities for insurers.

“During the review period between 2010 and 2014, Kenya’s urban population grew by 19 per cent Vietnam (12.9), Indonesia (11.5), Turkey (8.4) and Mexico closing the best five emerging markets at 6.4 per cent. The report adds that Kenya enjoyed an all-time high continued annual growth in healthcare insurance at the rate of 32.44 per cent as compared to its nearest rivals Vietnam (24.16 per cent) and Mexico’s 10.22 per cent.

It notes that lower insurance penetration, high economic growth and rising disposable income present significant opportunities for both domestic and foreign entrants. The report urges multinationals to take advantage of the nascent insurance industry saying this will provide them with an ‘early-mover advantage’ particularly as local insurers may lack the required capital base or expertise.

Source: Nation