雅虎香港財經 Top 15 Life Insurance Companies In The World
In this article, we will discuss the top 15 life insurance companies in the world. If you want to explore similar companies, you can also take a look at Top 5 Life Insurance Companies In The World.
Life Insurance Industry: An Analysis
The life insurance industry is a vital part of the financial services sector in the United States. It helps provide financial security for families in the event of the death of a breadwinner, and also offers a variety of other products and services to meet the needs of policyholders. The industry is highly competitive, with a large number of companies offering a variety of products. Life insurance companies must be licensed in every state in which they do business, and are subject to regulation by the state insurance commissioner. The life insurance industry has undergone a number of changes in recent years, including the introduction of new products, the consolidation of companies, and the emergence of new distribution channels.
According to statistics from McKinsey, life insurance made up 45% of global premiums in 2019, up 4.4% from its share in 2018. Global life insurance gross premiums went up by 4% in 2019, in line with the growth rate in 2017 and 2018. Developing economies in the Asia Pacific region exhibited the fastest growth in the world, and grew by 10% in 2019. The pandemic drove the life insurance premiums growth in 2020 and 2021, however, growth attributed to the pandemic appears to be slowing down according to the 2023 insurance outlook by Deloitte. Deloitte analysts expect a minor contraction in global premiums growth in 2022, 0.2%, partly due to rising interest rates and surging inflation. However, Deloitte forecasts that global premiums growth will rebound in 2023 and record a 1.9% increase in the year across emerging markets as the inflation situation cools down and economic conditions improve. Deloitte expects life insurance premiums to fall across North America, Europe, and China in 2022. However, the firm sees emerging markets, excluding China, registering a positive growth print of 3.5% for premiums in 2022, led by India recording a 6% increase in life insurance premiums for the year. This article will review some of the top life insurance companies in the world which include UnitedHealth Group Inc. (NYSE:UNH), American International Group, Inc. (NYSE:AIG), and Metlife, Inc. (NYSE:MET). These companies, among others, are discussed in detail below.
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Our Methodology
To determine the top 15 life insurance companies in the world, we reviewed the life insurance industry and studied multiple industry analysis reports published by credible agencies. We identified the major players mentioned in these reports and filtered them out based on their business models, balance sheets, and performance. We preferred companies with healthy balance sheets, strong fundamentals, and growth catalysts. We have ranked these companies according to their popularity among elite hedge funds.
Top 15 Life Insurance Companies In The World
15. Allianz SE (OTC:ALIZY)
Number of Hedge Fund Holders: N/A
Allianz SE (OTC:ALIZY) is a leading global financial services company headquartered in Munich, Germany. The company operates in over 70 countries and provides a wide range of financial products and services, including insurance, asset management, banking, and more. Allianz SE (OTC:ALIZY) has over 126 million customers worldwide and employs over 150,000 people. The company has a strong financial position and is one of the largest companies in Germany.
This August, Berenberg analyst Michael Huttner raised his price target on Allianz SE (OTC:ALIZY) to EUR 267 from EUR 264 and maintained a Buy rating on the shares. On October 21, Barclays analyst Claudia Gaspari revised her price target on Allianz SE (OTC:ALIZY) to EUR 205 from EUR 214 and reiterated an Equal Weight rating on the shares.
Allianz SE (OTC:ALIZY) has a healthy balance sheet and strong cash position. The company reported free cash flows of EUR 5.7 billion on its balance sheet. The company is also awarding its shareholders with a hefty dividend. As of October 28, Allianz SE (OTC:ALIZY) is offering a forward dividend yield of 6.25% and is worth roughly $74 billion on the open market. Allianz SE (OTC:ALIZY) ranks among the top life insurance companies in the world.
Allianz SE (OTC:ALIZY) is among the major players in the life insurance industry. Other key players include UnitedHealth Group Inc. (NYSE:UNH), American International Group, Inc. (NYSE:AIG), and Metlife, Inc. (NYSE:MET).
14. AXA SA (OTC:AXAHY)
Number of Hedge Fund Holders: N/A
AXA SA (OTC:AXAHY) is a French multinational insurance firm that engages in global insurance, investment management, and other financial services. AXA SA (OTC:AXAHY) operates primarily in Western Europe, North America, the Asia-Pacific region, and the Middle East, and also has a strong presence in Africa and other markets. AXA SA (OTC:AXAHY) is a composite insurer and one of the world's largest insurance brands, with over 95 million customers worldwide. AXA SA (OTC:AXAHY) is among the top life insurance companies in the world.
AXA SA (OTC:AXAHY) is currently trading below its intrinsic value and is offering a strong dividend payout to its investors. As of October 28, AXA SA (OTC:AXAHY) is trading at a PE multiple of 8x and is offering shareholders a forward dividend yield of 6.49%. The company has a trailing twelve-month operating margin of 9.27% and free cash flows of EUR 2.74 billion.
This October, JPMorgan analyst Farooq Hanif revised his price target on AXA SA (OTC:AXAHY) to EUR 30 from EUR 31 and reiterated an Overweight rating on the shares. On October 28, Credit Suisse analyst Iain Pearce raised his price target on AXA SA (OTC:AXAHY) to EUR 27 from EUR 26 and maintained an Outperform rating on the shares.
13. Zurich Insurance Group AG (OTC:ZURVY)
Number of Hedge Fund Holders: N/A
Zurich Insurance Group AG (OTC:ZURVY) is a Swiss insurance company, headquartered in Zurich, Switzerland. The company is one of the largest insurance groups in the world and has a history that dates back to 1872. Zurich Insurance Group AG (OTC:ZURVY) serves customers in more than 210 countries and territories. The company offers a wide range of property and casualty, and life insurance products and services. It has operations in North America, Europe, Asia Pacific, and other markets. As of October 28, Zurich Insurance Group AG (OTC:ZURVY) has a market cap of $63.4 billion and is one of the top life insurance companies in the world.
On August 17, UBS analyst Colm Kelly raised his price target on Zurich Insurance Group (OTC:ZURVY) to CHF 565 from CHF 550 and reiterated a Buy rating on the shares. On October 21, Barclays analyst Claudia Gaspari raised her price target on Zurich Insurance Group (OTC:ZURVY) to CHF 532 from CHF 525 and maintained an Overweight rating on the shares.
Zurich Insurance Group AG (OTC:ZURVY) is profitable and also efficient at making profits for shareholders. The company has a trailing twelve-month operating margin of 15.82% and an ROE of 16.3%. Zurich Insurance Group AG (OTC:ZURVY) has free cash flows of $4.19 billion and is awarding investors with a forward dividend yield of 5.48%, as of October 28.
12. Manulife Financial Corporation (NYSE:MFC)
Number of Hedge Fund Holders: 15
Manulife Financial Corporation (NYSE:MFC) is a Canadian multinational insurance company and financial services corporation headquartered in Toronto, Canada. The company operates in Canada, Asia, the United States, and international markets. Manulife Financial Corporation (NYSE:MFC) is one of the oldest insurance companies in Canada and is among the best insurance companies in the world. The company provides a variety of insurance and investment products and services to individuals, families, and businesses. As of October 28, Manulife Financial Corporation (NYSE:MFC) is worth $31.5 billion and is yielding investors 5.98%. The company has free cash flows of C$20.8 billion.
On October 12, Barclays analyst John Aiken revised his price target on Manulife Financial Corporation (NYSE:MFC) to C$29 from C$30 and maintained an Overweight rating on the shares. This October, National Bank analyst Gabriel Dechaine adjusted his price target on Manulife Financial Corporation (NYSE:MFC) to C$24 from C$25 and reiterated a Sector Perform rating on the shares.
At the end of Q2 2022, 15 hedge funds held stakes in Manulife Financial Corporation (NYSE:MFC). The total value of these stakes amounted to $155 million. As of September 30, Galibier Capital Management is the top shareholder in the company and has disclosed a stake of $42 million.
Here is what Harding Loevner had to say about Manulife Financial Corporation (NYSE:MFC) in its second-quarter 2022 investor letter:
“Manulife Financial Corporation (NYSE:MFC), the Canadian life insurer operating primarily in North America and Asia, is a new holding. Manulife offers a full suite of life insurance products as well as retirement and wealth management services. While the wealth management and retirement products appeal to the aging populations of the Western world, long-term life insurance products address the needs of the growing number of middle-class families in places like China and southeast Asia. COVID-19-induced lockdowns in China brought the shares down to a significant discount to our estimate of long-term value. The holding now serves as a nice diversifier to our Asia-centered insurers AIA and Ping An.”
11. Prudential Financial, Inc. (NYSE:PRU)
Number of Hedge Fund Holders: 18
Prudential Financial, Inc. (NYSE:PRU) is a financial services company that offers a range of products and services including life insurance, annuities, retirement-related services, mutual funds, asset management, and real estate services. It has operations in the United States and international markets. The company was founded in 1875 and is headquartered in Newark, New Jersey. Prudential Financial, Inc. (NYSE:PRU) is one of the largest life insurance companies in the world and has a strong presence in the United States, Asia, and Europe. The company has free cash flows of $10.25 billion.
On September 21, Raymond James analyst Wilma Burdis took coverage of Prudential Financial, Inc. (NYSE:PRU) with a Strong Buy rating and a $115 price target. This October, Barclays analyst Tracy Benguigui revised her price target on Prudential Financial, Inc. (NYSE:PRU) to $94 from $95 and maintained an Equal Weight rating on the shares.
At the close of Q2 2022, 18 hedge funds were long Prudential Financial, Inc. (NYSE:PRU) and held stakes worth $86 million in the company. Of those, AQR Capital Management was the top investor in the company and disclosed stakes worth $44.25 million.
10. Unum Group (NYSE:UNM)
Number of Hedge Fund Holders: 25
Unum Group (NYSE:UNM) is a large provider of disability insurance in the United States. The company offers a wide range of disability insurance products, including group and individual disability insurance, as well as life and long-term care insurance. Unum Group (NYSE:UNM) is trading at an attractive valuation and is offering a sustainable dividend to investors. As of October 28, the company is worth roughly $9.21 billion on the open market, is trading at a PE multiple of 8x, and is offering a forward dividend yield of 2.86%. Unum Group (NYSE:UNM) has free cash flows of $1.59 billion and is among the top life insurance companies in the world.
This October, JPMorgan analyst Jimmy Bhullar raised his price target on Unum Group (NYSE:UNM) to $42 from $36 and maintained a Neutral rating on the shares. On October 7, Truist analyst Mark Hughes raised his price target on Unum Group (NYSE:UNM) to $48 from $44 and reiterated a Buy rating on the shares.
At the end of Q2 2022, 25 hedge funds were bullish on Unum Group (NYSE:UNM) and held stakes worth $436 million in the company. This is compared to 30 positions in the previous quarter with stakes of $323.5 million. As of June 30, Viking Global is the most prominent investor in Unum Group (NYSE:UNM) and has stakes worth $146.6 million in the company.
9. Globe Life Inc. (NYSE:GL)
Number of Hedge Fund Holders: 27
Globe Life Inc. (NYSE:GL) offers a range of life insurance products, annuities, and supplemental health products. The company's segments include Life Insurance, Supplemental Health Insurance, Annuities, and Investments. On October 26, Globe Life Inc. (NYSE:GL) announced earnings for the fiscal third quarter of 2022. The company generated a revenue of $1.29 billion and reported earnings per share of $2.15, outperforming consensus by $0.05. As of October 28, Globe Life Inc. (NYSE:GL) has gained 19.77% year to date. The company is one of the top life insurance companies in the world.
On September 22, Raymond James analyst Wilma Burdis took coverage of Globe Life Inc. (NYSE:GL) with a Strong Buy rating and a $138 price target.
At the close of Q2 2022, Globe Life Inc. (NYSE:GL) was spotted on 27 hedge fund portfolios. These funds held collective stakes of $916.4 million in the company. This is compared to 33 positions in the preceding quarter with stakes worth $873.4 million.
8. Brighthouse Financial, Inc. (NASDAQ:BHF)
Number of Hedge Fund Holders: 28
Brighthouse Financial, Inc. (NASDAQ:BHF) is a leading provider of life insurance and annuity products in the United States. The company offers a range of products and services, including term life insurance, whole life insurance, universal life insurance, indexed universal life insurance, variable universal life insurance, and fixed annuities.
Brighthouse Financial, Inc. (NASDAQ:BHF) has a healthy balance sheet. The company has a trailing twelve-month operating margin of 24.5% and an ROE of 15.69%. The company has free cash flows of $695 million.
On October 14, Barclays analyst Tracy Benguigui raised her price target on Brighthouse Financial, Inc. (NASDAQ:BHF) to $47 from $45 and reiterated an Equal Weight rating on the shares.
At the end of Q2 2022. Insider Monkey identified 28 hedge funds that held stakes in Brighthouse Financial, Inc. (NASDAQ:BHF). These funds disclosed stakes of $284.4 million in the company. As of June 30, Greenlight Capital is the leading shareholder in the company and has disclosed a stake of $143.5 million.
Here is what Greenlight Capital had to say about Brighthouse Financial, Inc. (NASDAQ:BHF) in its second-quarter 2022 investor letter:
“Brighthouse Financial (NASDAQ:BHF). The shares ended the quarter at $41.02. This is about 25% of book value and less than 3x consensus earnings. We expect the company to repurchase 10-20% of its shares this year.”
7. Lincoln National Corporation (NYSE:LNC)
Number of Hedge Fund Holders: 34
Lincoln National Corporation (NYSE:LNC) is a major provider of life insurance and annuity products in the United States. The company operates in four segments: Annuities, Retirement Plan Services, Life Insurance, and Group Protection. As of October 28, Lincoln National Corporation (NYSE:LNC) is worth $9.19 billion on the open market and is trading at a PE multiple of 10x. Lincoln National Corporation (NYSE:LNC) has free cash flows of $3.09 billion and yielding investors 3.33%, as of October 28.
This October, RBC Capital analyst Mark Dwelle revised his price target on Lincoln National Corporation (NYSE:LNC) to $54 from $57 and reiterated a Sector Perform rating on the shares. On October 7, JPMorgan analyst Jimmy Bhullar adjusted his price target on Lincoln National Corporation (NYSE:LNC) to $68 from $77 and maintained an Overweight rating on the shares.
At the close of Q2 2022, 34 hedge funds were bullish on Lincoln National Corporation (NYSE:LNC) and disclosed stakes of $451.4 million in the company. This is compared to 25 hedge funds in the preceding quarter with stakes worth $455.7 million. As of June 30, Lyrical Asset Management is the top investor in Lincoln National Corporation (NYSE:LNC) and has stakes of $185.6 million in the company.
Here is what Chartwell Investment Partners had to say about Lincoln National Corporation (NYSE:LNC) in its second-quarter 2022 investor letter:
“The three worst-performing stocks in the Dividend Equity accounts includes Lincoln National (NYSE:LNC, 1.9%), down 27.9%. Lincoln’s quarterly results were weak in both life insurance and annuity sales, but we remain positive on the stock given the company’s ongoing de-risking initiatives, leverage to higher rates, and discounted valuation.”
6. Chubb Limited (NYSE:CB)
Number of Hedge Fund Holders: 35
Chubb Limited (NYSE:CB) is a top global provider of life insurance services and has operations in 54 countries. As of October 28, the company is worth $89 billion on the open market and is trading at a PE multiple of 15x. On October 25, Chubb Limited (NYSE:CB) announced market-beating earnings for the third quarter of fiscal 2022. The company reported earnings per share of $3.17 and beat estimates by $0.56. The company's revenue for the quarter amounted to $10.75 billion and outperformed Wall Street expectations by $875,000.
On October 27, Raymond James analyst C. Gregory Peters raised his price target on Chubb Limited (NYSE:CB) to $270 from $260 and reiterated a Strong Buy rating on the shares.
At the end of Q2 2022, Chubb Limited (NYSE:CB) was spotted on 35 hedge fund portfolios. These funds held collective stakes of $1.68 billion in the company. As of June 30, Viking Global is the top investor in Chubb Limited (NYSE:CB) and has disclosed stakes of $741.9 million in the company.
Some of the largest life insurance companies in the world include UnitedHealth Group Inc. (NYSE:UNH), American International Group, Inc. (NYSE:AIG), and Metlife, Inc. (NYSE:MET).
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Disclosure: None. Top 15 Life Insurance Companies In The World is originally published on Insider Monkey.
