The growing but slowing market for insurance
I like to think of our target market as being roughly equivalent to the number of people between 16 and 65 that are also in work.
Being in work gives a client a decent chance of both having enough money to pay a premium and being healthy enough to insure. There are about 2.7 million people in this category. There are people that leave the category – achieving age 65, people going overseas, leaving the workforce, reduces the pool by about 44,000 each year. Those that die reduce it by about 8,000. Counting those joining the group – kids turning 16, returning kiwis and immigrants of working age adds just over 100,000 each year. So, all told, the net gain is about 50,000 annually.
Pretty good. Even better, in most years their incomes rise a little bit faster than inflation. The combination of the increase in numbers of people and income describes the market opportunity.
The market-place is growing, but total sales and total policy numbers are falling.
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