Latin America, particularly Brazil, has become the new investment destination for investors from all over the world. And international players who want to make inroads into the insurance industry of Latin American countries may find Brazil a promising venture as the country’s insurance market has experienced a robust growth in recent times.
The total direct premium written by the Brazilian insurance industry swelled by nearly 17.2% in the first half of 2007 over the same period in 2006. This remarkable growth in Brazil’s insurance industry has prompted RNCOS, a leading market research company, to study the market comprehensively and publish it as a report “Opportunities in Brazil Insurance Market”. The report has analyzed the factors particular to Brazil that are spurring growth in its insurance market.
The RNCOS research has defined the Brazilian insurance market to consist of general insurance, life and retirement savings products and ‘capitalization’ – a product unique to the country. The research studies the segment-wise performance of the industry of Brazil to come up with a judgmental analysis. It elaborates on segments like retirement savings and auto insurance that forms the major components of Brazil’s insurance industry and are projected to give good results in near-term. The RNCOS study has also looked into the current scenario of the market to recognize the segments with maximum latent.
A Senior Research Analyst at RNCOS opines that the improving economic stature and growth in auto financing in Brazil has resulted in high auto ownership in the country, thereby fuelling growth in auto insurance segment. Moreover, the auto insurance segment is believed to maintain the same kinetic energy in future, particularly because of rising level of car ownership in the Latino country.
However, as the report has put forward, Brazil has some snags like income inequality, crime, insurance frauds, and heated price competition, that have to be removed.
The descriptive and prudent analysis given in “Opportunities in Brazil Insurance Market” helps clients to evaluate the future of the insurance market in Brazil. Substantiated with statistical data, the report thoroughly discusses the market performance (general insurance, life and retirement savings), and key products (subsuming capitalization and health insurance), driving forces, government policies, opportunities, challenges, and future outlook of the market.