Insurance is the lifeblood of any developed economy, as it enables individuals, businesses and even governments to transfer risk to further invest and grow. Simply put, without insurance, an economy cannot develop in a sustainable manner. However, few people are aware of the extraordinary impact the industry has on state, local and national economies.
By the numbers:
- 2.8 million… Citizens in the U.S. who are employed in a wide variety of careers, from human resource administrators to public relations managers to financial analysts in the property/casualty and life/annuity insurance industries.
- $9 trillion… Assets under management in 2019, including $1.9 trillion for the property/casualty (P/C) sector and $4.3 trillion for the life/annuity sector.
- $629.7 billion… P/C and life/annuity insurance industries contributed to the U.S. gross domestic product in 2019, which amounts to roughly 2.9 percent of the whole.
- $847.8 billion… P/C policyholder surplus on hand at the end of 2019 for ensuring individuals and businesses claims are paid.
- $23.6 billion… Taxes paid by the property/casualty and life/annuity insurance industries in the U.S. in 2019 -- $72 for every citizen.
To explain the ways that both property/casualty and life/annuity insurance contribute to our economy far beyond their core function of helping to manage risk, the Insurance Information Institute has produced the online publication, A Firm Foundation: How Insurance Supports the Economy. This publication shows the myriad ways in which insurance supports the economy and tells how insurance helps provide the firm foundation for a functioning economy.
We hope that you will enjoy and utilize the information contained in A Firm Foundation. You can also count on the Insurance Information Institute to leverage this as well throughout the year as we continue to drive the public conversation about the key role of insurance in creating a safer, more stable world.
Insurance Information Institute