Kathmandu. The medical insurance market in the Asia-Pacific region is expanding rapidly.
According to a report by Allied Market Research, the Asia Pacific region is projected to register the fastest growth in the medical insurance market with a compound annual growth rate (CAGR) of 12.4 percent from 2023 to 2033. Factors contributing to this expansion include stronger economic growth, improved healthcare access, and a growing demand for medical insurance in emerging markets.
In 2023, the global medical insurance market stood at $1.7 trillion. By 2033, it is expected to rise to $4.4 trillion.
The global market is expected to grow at a CAGR of 9.6 per cent from 2024 to 2033.
Increasing demand for insurance products, increasing awareness of health and wellness, and continued advances in medical technology are driving this growth. However, the report pointed out that high premium costs, affordability problems and regulatory compliance burden remain major challenges for the sector.
In the Asia-Pacific region, people between the ages of 25 and 34 will form the largest market share in 2023. Which will contribute more than a quarter of the total income.
The sector is expected to maintain its lead in the forecast period due to rising employment rates and increasing awareness of the importance of insurance coverage. People under the age of 25 are expected to file the highest CAGR of 10.7 per cent by 2033. Which is supported by increased participation in preventive care in young people and widespread insurance adoption.
