The insurance industry has seen a lot of growth as people realize the importance of protecting their homes, businesses, and other personal belongings. People are constantly exposed to risk. Some of these risks are difficult to predict or control. There are many risks, including being injured, dying, or becoming the victim of a natural catastrophe or fire.
These risks can cause pain and suffering as well as financial and economic harm. It is wise to insure all areas of your life that are more at risk.
Insurance protects you from the worst and makes you more resilient to any unforeseen circumstances. Insurance transfers the responsibility of absorbing losses due to unpredicted catastrophes to you and the insurance company.
This article will examine some of the top insurance companies in the world. This list can be compiled using many criteria, including revenue, premium collection, geographic area, assets and profit.
1. Insurance offers protection and backup in case of loss that was not planned. Better planning and administration can reduce the uncertainty of loss.
According to a saying, there is only one constant in life: change. Uncertainty about the future and loss amounts is a constant. Insurance eliminates these uncertainties, and assures that the insured will be compensated for any loss.
This shield is provided by the insurer at a premium. A guarantee that if there is a loss, you will be compensated.
2. Sharing the risk. As uncertain as risk, so too is the risk of losing. All persons are affected by risk when there is a loss. Insurance is here to help. Insurance covers the majority of risk and retains the largest share.
In ancient times, risk sharing was only done at the time of death or damage. Today, it is based on the likelihood of risk.
3. It provides capital. Insurance companies invest the funds in productive channels, which provides capital to society.
With the help of insurance investment, the death of capital can be reduced to a lesser extent. The investment and loans made by insurers are beneficial for the industry, the company, and the individual.
These are the top-rated insurance companies
AIA Group Ltd
AIA Group was founded in 1919 in Singapore and is based in Hong Kong. It has 18 markets, including China, Australia New Zealand, India and Cambodia. It is a specialist in life insurance as well as other financial services.
AIA declared assets of $284 Billion as of December 31, 2019 and a market capital of $126.2 Billion as of February 5, 2020.
AIG (American International Group) has 80 offices. New York City is the current headquarters of the company that was founded in Shanghai in 1919. It operates in three main segments: general insurance (personal and commercial), life and retirement insurance, and a subsidiary called Blackboard Insurance.
AIG was one of the companies that received $180 billion in bailout funds from the U.S. government after the financial crisis of 2007-2008. The Financial Crisis Inquiry Commission found that credit default swaps were sold with no collateral, leading to AIG’s failure.
Since then, the company has recovered and reported $525 billion in assets with a market capital of $45.2 billion.
AXA was formed in 1816 by the merger of several insurance companies. AXA is one the largest insurance companies in the world, with more than 102 million customers across 56 countries and over 125,000 employed. Its principal businesses include property and casualty, life, savings, asset management, and insurance. It is headquartered in Paris, but it has offices all over Africa, North America and Central America, Asia Pacific and Europe.
AXA purchased 51% of Colpatria Seguros’ insurance operations in Colombia in 2013. It also acquired 50% of Tian Ping, a Chinese property and casualty insurance company. This made it the largest international insurer in China that year. AXA also purchased the Mexico non-life insurance business of HSBC. AXA Group’s market cap is currently $67 billion.
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China Life Insurance
China Life Insurance (LFC), one of the largest state-owned financial and insurance companies in China, is also a major player in China’s capital market as an institutional investor.
It was established in 1949 by the People’s Insurance Company of China. After the 1996 dissolution of PICC, its offshoot PICC Life Co. Ltd was formed. In 1999, PICC (Life Insurance Company) was renamed China Life Insurance Company.
China Life Insurance Company was restructured in 2003 to become China Life Insurance Group Company. It has seven subsidiaries. These businesses include life insurance, pension plans and asset management. They also offer investment holdings and overseas operations.
The company is available to the public on the New York Stock Exchange as well as the Hong Kong Stock Exchange. It is also listed on the Shanghai Stock Exchange. The company has a market capitalization of $123.9 billion.
The ING Group, a multinational Dutch company, was established in 1991. The company offers a variety of services, including direct, investment, retail, and commercial banking, as well as insurance and asset management. ING has more than 37,000,000 clients in 40 countries.
2018 saw ING announce a partnership with AXA, another member of the list. The two companies have an exclusive digital partnership that provides insurance products online to clients in multiple countries. ING has a market capitalization of approximately $47.7 million.
United Health Group
UnitedHealth Group (UNH), a highly diversified American health care business, is located in New York. It’s has two business platforms–UnitedHealthcare for health benefits and Optum for health services– which works together to serve over 115 million people in every U.S. state and 125 countries.
The UnitedHealth Group leverages its clinical expertise and resources to improve performance of the health services sector.
MetLife, Inc., is the holding company for Metropolitan Life Insurance Company, also called MetLife, and its affiliates.
MetLife, with more than 100,000,000 customers in over 50 countries and a market capital of $47.4 Billion and assets of $740.4 Billion, is one of the largest insurance companies in the world. It also offers services in employee benefits, annuities, and other financial products.
MetLife Investors, MetLife Bank (which was sold to GE Capital 2013) MetLife Investment Securities, Metropolitan Properties Ventures and Casualty Insurance Company are some of the subsidiaries.