Business Portfolio, Market Share and Trend of Nepalese Non-Life Insurance Market
Journal of Banking, Finance and Insurance, August 2020
15 Pages Posted: 14 Oct 2020
Date Written: August 22, 2020
The aim of the paper is to observe the trend and growth of market share of seven different non-life insurance policies in Nepal and examine business performance of Nepalese non-life insurers in terms of premium written during the study period. Secondary data of twenty companies for FY 2015 to 2019 have been analyzed with descriptive statistic. It has been found that market share of fire and aviation business decreased with fluctuation, marine business remain constant, motor and agriculture insurance fluctuated and increased, engineering insurance increased, and miscellaneous insurance fluctuated and remained constant during five years period. Non-life insurance market experienced slow growth during the study period. Among the seven different segments of business, motor insurance occupied highest share while agriculture occupied lowest share. The growth of aviation market is very slow while agriculture is very high. Out of 17 old companies, Shikhar, Sagarmatha and Neco insurers stood at first, second and third rank in terms of premium written during 2019. The potentiality of non-life insurance market is high but due to the lack of extra efforts of insurers, the market growth is not found impressive.
Keywords: Business Portfolio, Market Share, Non-Life Insurance
JEL Classification: G22
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