For the first time, the size and scope of the global high-net-worth (HNW) international life insurance market have been formally identified and quantified, validating industry expectations that this represents a rapidly expanding market with growing global significance. The findings come from a landmark study conducted by NMG Consulting and released by Utmost Group, a leading provider of insurance-based wealth solutions.
In 2024, new business sales in the HNW international life insurance sector reached £41.3 billion, marking a 25 per cent increase from the previous year. This growth was driven by strong demand in the United Kingdom following changes to the tax regime, as well as increased uptake of European wealth planning solutions across both linked and non-linked product types.
Strong Momentum
The market is expected to continue its upward trajectory. Annual new business sales are projected to rise to £67 billion by 2030, generating an additional £90 billion in cumulative sales between 2025 and 2030. Several key factors are contributing to this predicted growth:
- An expanding and internationally mobile HNW and UHNW population
- A global wave of intergenerational wealth transfer
- Greater appetite for advisory and solution-based financial planning
- Increased need for compliant and portable wealth structuring tools
These factors are contributing not only to higher premium volumes but also to larger case sizes, an improved client profile, and growing adviser capacity and capability.
A Large Market Still in Early Stages of Adoption
Despite this momentum, the market remains significantly underpenetrated. According to the study, global HNW individuals hold an estimated £28 trillion in investible assets. Yet just £543 billion, or around 2 per cent, is currently allocated to insurance-based wealth solutions.
These solutions include:
- Unit-linked structures, such as private placement life insurance and single premium investment bonds
- Non-linked options like fonds en euros and permanent life insurance
Such tools are increasingly used for wealth preservation, cross-border estate planning, risk management, and long-term succession strategies. However, the complexity of these products, combined with low general awareness, has kept adoption relatively limited. Distribution is largely reliant on a small group of specialist advisers, private banks, and family offices with the expertise to position them effectively.
The potential is substantial. Increasing market penetration by just one percentage point, from 2 to 3 per cent, could unlock more than £240 billion in additional assets, expanding the market to over £800 billion in total.
Market Leadership and Competitive Dynamics
The HNW international life insurance sector remains concentrated among a small number of global providers. The top ten firms account for approximately 65 per cent of all new business, with the top five representing around 45 per cent of the total.
The outlook for the HNW international life insurance market is exceptionally strong. As wealth becomes increasingly cross-border and clients seek more tailored, tax-efficient solutions, the demand for wealth planning led by insurance is set to grow further.
For financial advisers, private banks, and insurance providers, the opportunity is clear: a sizeable and growing segment with low current penetration, rising client need, and increasing structural demand. By deepening client understanding and strengthening distribution capability, the industry can unlock significant value and deliver more meaningful outcomes for wealthy families worldwide.
This communication is for informational purposes only and is not intended to constitute, and should not be construed as, investment advice, investment recommendations or investment research. You should seek advice from a professional adviser before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.
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In a world where our financial stability impacts almost every aspect of our daily lives, it is more important than ever to preserve what we have worked so hard to achieve. Unless you’re lucky enough to win the lottery, most of us have worked hard and for a very long time to achieve financial security and the lifestyle we want for ourselves and our families in retirement.