Gross written premiums for Kuwait's insurance market retreated in the fiscal year ended 31 March 2026 (FY2026), with the fall attributed largely to the health insurance business, according to the Insurance Regulatory Unit's latest Annual Report.
Total direct premiums written by insurance companies in Kuwait reached KWD543m ($1.8bn) in FY2026, representing an 11.8% decline compared with FY2025.
The IRU attributed the decline in total premiums mainly to the cancellation of the government’s Afia health insurance scheme. Health insurance premiums plunged by over 40% to KWD165m in FY2026 from KWD277m in the preceding year. Despite the sharp drop in premium revenue, the health sector's total sum insured actually grew by 31%.
General lines driving growth
In contrast to the performance of the life and health market, motor third-party liability (TPL) insurance premiums registered a 26% increase, the highest among all branches, reaching KWD53m in FY2026 compared with KWD42m in the previous year. This branch contributed about 10% of the insurance market’s total premium income. Comprehensive motor business accounted for around 19% of the market as it reached KWD102m in FY2026 from KWD96m in FY2025, representing a 6% increase. Fire insurance business grew by 22% to reach KWD60m, commanding an 11% market share.
Group life insurance business for the same period reached KWD58m compared with KWD57m, showing a 1.4% increase. Individual life insurance business witnessed a setback of 17% as it declined to KWD8.5m from KWD10.3m.
|
KWD 000
|
Direct Premiums
|
Paid Claims
|
|
FY 2026
|
FY 2025
|
Change
|
Share FY2026
|
FY 2026
|
FY 2025
|
Change
|
Share FY2026
|
|
Fire
|
60,720
|
49,858
|
21.8%
|
11.2%
|
11,345
|
13,928
|
-18.5%
|
3.7%
|
|
Marine & Aviation
|
24,420
|
22,844
|
6.9%
|
4.5%
|
5,470
|
3,348
|
63.4%
|
1.8%
|
|
Other Accidents
|
69,640
|
59,478
|
17.1%
|
12.8%
|
29,665
|
17,072
|
73.8%
|
9.6%
|
|
Motor TPL
|
53,295
|
42,292
|
26.0%
|
9.8%
|
16,965
|
13,906
|
22.0%
|
5.5%
|
|
Motor Comprehensive
|
101,917
|
95,849
|
6.3%
|
18.8%
|
70,871
|
63,270
|
12.0%
|
23.0%
|
|
Health
|
165,454
|
276,985
|
-40.3%
|
30.5%
|
134,859
|
266,713
|
-49.4%
|
43.7%
|
|
Travel
|
1,237
|
1,439
|
-14.0%
|
0.2%
|
35
|
65
|
-46.7%
|
0.0%
|
|
Life - Group
|
57,915
|
57,117
|
1.4%
|
10.7%
|
39,025
|
37,155
|
5.0%
|
12.6%
|
|
Life - Individual
|
8,582
|
10,309
|
-16.8%
|
1.6%
|
361
|
1,609
|
-77.6%
|
0.1%
|
|
Total
|
543,180
|
616,171
|
-11.8%
|
100.0%
|
308,596
|
417,066
|
-26.0%
|
100.0%
|
|
Source: Insurance Regulatory Unit
|
Paid claims
Total paid claims contracted by 26% to KWD308m in FY2026, compared with KWD417m in the previous fiscal year. Individual life insurance paid claims recorded the sharpest decline in paid claims, falling to KWD361,000 from KWD1.6m, followed by health insurance, where claims plummeted by 49% to KWD135m.
According to the IRU, the primary factors shaping business activity and driving the insurance market included economic expansion, growing insurance awareness; infrastructure development; and price competition.