The global private health insurance market is becoming increasingly more popular among investors, says a study from research analyst firm Frost & Sullivan. The firm claim that a mixture of poor government funding and a large amount of uncovered people around the world make the insurance sector a lucrative opportunity for investors.
The research showed that North America remains the largest private health insurance market, with more than two thirds of the world’s private insurance premium revenues – which came to over $1 trillion in 2015.
North America was certainly well in the lead, with the second largest market belonging to Europe and its $189.54 billion. Africa had the smallest private health insurance market, with only $1.43 billion. A research analyst from the firm said that developing regions are more attracted to disease-specific insurance products with more developed areas pandering more to freebies.
Frost & Sullivan believe that in the future, insurers will look at similar data to create packages which apply directly to specific areas – with technology, such as mobile payment and telehealth, to play a huge role in the change as well.