In the first half of 2023, AIA Group generated ** billion Hong Kong dollars in insurance premiums from new businesses in Hong Kong. Compared to the previous years, most life insurance companies had difficulty generating new business. A global giant As one of the world’s leading financial centers, Hong Kong has a large insurance sector. With a business volume of around *** billion Hong Kong dollars, the insurance industry accounted for over three percent of the region’s GDP. According to official statistics, the life insurance business was more than ** times the size of the non-life insurance business. A popular financial hub Because of Hong Kong’s unique location and status, the city was a popular location for global financial institutions, including insurance. For instance, many out of the ** leading life insurance companies in Hong Kong were not from the region itself. Financial companies enjoy the liberal business environment and economic freedom of the city. In addition, Hong Kong serves as a connection point between the global financial system and mainland China.

In the first half of 2022, AIA Group had a market share of ** percent based on the value of new business in Hong Kong. Compared to the previous years, life insurance companies had difficulties generating new business. The insurance company Sun Life had the largest gap because it generated around ** percent lower premium income.

Post-Covid Sitrep

For an industry that is notoriously averse to risk and rapid change, the past few years have been challenging for the insurance industry in Hong Kong. The COVID-19 pandemic and its effect on the region's economy significantly reduced the income of the sector. Additionally, the economic and political role of the city is evolving and forcing insurers to adapt. Given that the insurance industry generates over **** percent of the local GDP, the overall health of insurers is important.

What’s next?

Like insurance companies globally, insurers in Hong Kong have to rethink old practices to embrace upcoming challenges. According to industry analysts, the main challenges include evolving customer needs, the increasing role of artificial intelligence, and climate risks. Compared to other regions, Hong Kong’s insurance providers need to embrace digitalization through Insurtech and focus on the integration of ESG into their business models to stay competitive.

The total assets of insurance companies in Hong Kong increased year-on-year from 2002 to 2022, except in 2008 when a slight decrease was observed. In 2022, the assets of insurance companies in Hong Kong amounted to over *** billion U.S. dollars - a decrease of around ** billion U.S. dollars from the previous year. Overall, the value of assets of insurance companies in Hong Kong has grown by approximately *** billion U.S. dollars since 2002.

According to Forbes Global 2000 ranking released on June 12, 2025, China Mobile kept its title as the biggest public company in Hong Kong, with a market value of around 223 billion U.S. dollars. This is up from 19 billion U.S. dollars in the previous year's evaluation. With a market valuation of 103 billion U.S. dollars, the gas and oil company CNOOC remained second, ahead of the pan-Asian life insurance company AIA Group.

In 2023, Hong Kong and Shanghai Banking had assets valued at over 10 trillion Hong Kong dollars. Based on asset value, the bank was the leading institution in the region. Hong Kong and Shanghai Banking generated 97 billion U.S. dollars in net profits in that year, making it the most profitable licensed bank worldwide. Banking in Hong Kong After logistics, the financial sector is the second-largest industry in Hong Kong, and banking accounts for the largest subsection of the financial sector. The city is home to over 190 banks that employ more than one hundred thousand people. Not included in the number are the various representative offices of foreign banks. Other financial sectors Not only banking, but numerous other financial sub-sectors are integral to Hong Kong’s financial industry. Insurance companies in the city accounted for 3.9 percent of the region's GDP and employed more than 90 thousand of its inhabitants. The city’s stock market is not only one of the world's largest, but also has the among highest number of initial public offerings in the world.

Up to 2023, the life insurance group AIA ranked first with an IPO volume amounting to around ****** billion Hong Kong dollars. Hong Kong had been a popular destination for mainland Chinese companies to raise funds.