Netherlands general insurance industry to surpass $105 billion by 2029, forecasts GlobalData
The Netherlands general insurance industry is projected to grow at a compound annual growth rate (CAGR) of 5.4% from EUR76.0 billion ($80.5 billion) in 2024 to EUR98.9 billion ($105.7 billion) in 2029, in terms of gross written premiums (GWP), according to GlobalData, a leading data and analytics company.
As per GlobalData’s Insurance database, the general insurance industry in the Netherlands is projected to grow by 5.3% in 2025, driven by increased health awareness, higher vehicle sales, and inflation-driven premium adjustments.
Swarup Kumar Sahoo, Senior Insurance Analyst at GlobalData, comments: “The surge in health consciousness and vehicle sales will continue to bolster premiums in the Netherlands’ general insurance industry, with further impetus provided by inflationary adjustments. The frequent occurrence of natural disasters attributed to climate change is expected to spur the demand for property and liability insurance. Concurrently, an aging demographic and escalating healthcare costs in the country will underpin growth in the personal accident and health (PA&H) insurance segment."
PA&H insurance is the leading line of business in the Netherlands general insurance industry and constituted an 82.2% share of the GWP in 2024. It is expected to grow by 5.2% in 2025, driven by rising demand for comprehensive health coverage due to increased health awareness and rising medical treatment cost.
An aging population will also exert additional pressure on the healthcare system, leading more individuals to seek supplemental private health insurance to bridge the gaps in the government-mandated basic health package. Furthermore, rising medical inflation will prompt consumers to obtain additional insurance to offset out-of-pocket expenses. PA&H insurance is forecasted to grow at a CAGR of 5.3% from 2024 to 2029.
Motor insurance, the second-largest line, represented a 7.5% share of the general insurance GWP in 2024. It is expected to grow by 4.9% in 2025, driven by a spike in vehicle sales. As per the trade association for mobility - BOVAG, passenger car registration increased by 22% in November 2024 as compared to the same period in the previous year. This will stimulate the demand for motor insurance, with inflation-driven premiums contributing to increased GWP.
The growing adoption of electric vehicles (EVs) and alternative fuel vehicles (AFVs), supported by government incentives such as tax benefits and exemptions from road taxes, will significantly influence motor insurance growth. According to BOVAG, around 14% of the cars in the Netherlands are either partly or fully electric. This represents 1.3 million out of the 9.4 million cars registered in the country in 2024. Motor insurance is projected to grow at a CAGR of 5.5% between 2024 and 2029.
Property insurance is expected to account for a 6.4% share of premiums in 2025. It is expected to grow by 6.3% in 2025, driven by increasing demand for policies covering extreme weather events. The anticipated implementation of a mandatory flood insurance scheme by 2025 will further boost this demand. Additionally, the construction industry's projected annual growth of 2.5% from 2025 to 2028, fueled by investments in industrial, infrastructure, and residential sectors, will support the growth of property insurance.
Liability, financial lines, marine, aviation, and transit (MAT), and other general insurance products are expected to make up the remaining 3.9% share of the general insurance GWP in 2025.
Sahoo concludes: "The Dutch general insurance industry is poised to sustain its growth trajectory from 2024 to 2029, driven by the increasing demand for supplemental private health insurance and rising medical inflation. The sector's ability to adapt to regulatory changes, economic fluctuations, and evolving consumer preferences will be crucial to its continued success over the next five years."
