France has one of the largest insurance markets in Europe and is home to several major global players: Credit Agricole, AXA, and BNP Paribas. AXA was the largest insurance company in Europe in terms of gross written premiums in 2021. France is the largest single market for AXA with gross written premiums in France outpacing AXA XL – the brand AXA uses internationally – and Asia, respectively. After the European Union and the United Kingdom, North America is the next largest market for French insurance companies globally.
What are the biggest international markets for French insurers?
Unsurprisingly, Europe is home to the largest markets for French insurers outside of France. French insurers generated the most revenue within Europe in Italy, Germany, and Luxembourg in recent years. The UK used to be the third largest European market, but this changed in 2021 when Luxembourg took the lead. Proximity and having a common language makes Luxembourg an accessible market for French insurers. Only about 30 percent of insurance companies operating in Luxembourg were domestic, though this share has slightly increased in recent years.
How do laws impact insurance purchases in France?
There are several insurance types that are required to live in France, such as civil liability (CL) insurance, home insurance, and public health insurance. This means that consumers do not have the choice about whether to purchase these products, only which insurance company to buy from. Civil liability insurance covers damage to another person or their property and the value of CL premiums rose in 2021. All renters of unfurnished properties in France are obligated to take out insurance to cover the risk of fire, explosion, and water damages to the property. Every builder in France must take out decennial liability insurance, or inherent damage insurance, to cover costs related to the potential collapse of the building for 10 years after completion. The same requirement exists in Egypt. Decennial liability accounted for 70 percent of construction insurance taken out in France in recent years.
