A Firm Foundation: How Insurance Supports the Economy

Key Facts: The Insurance Industry’s Contribution To The New York Economy

The insurance industry in New York State has a significant impact on the state’s economy that extends well beyond its responsibilities to collect premiums and settle claims. It employs licensed professionals, pays taxes, owns municipal bonds and serves people in their times of greatest need.

Employment

U.S. Department of Commerce data show the insurance industry provided 199,165 jobs in New York in 2018. The New York insurance industry accounted for about $22.0 billion in compensation in 2018.

Gross State Product

The insurance industry contributed $56.3 billion to the New York gross state product (GSP) in 2017, accounting for 3.51 percent of the state GSP.

Taxes

Premium taxes paid by insurance companies in New York totaled $1.9 billion in 2019.

Premiums

Direct premiums written by property/casualty insurance companies in New York totaled $46.3 billion in 2019. Premiums written by life/annuity insurance companies totaled $114.6 billion (including life insurance, annuities, accident and health insurance, deposit type funds and other considerations).

Surplus Lines

The surplus lines market, a group of highly specialized insurers, exists to provide coverage that is not available through licensed insurers in the standard insurance market. For the many thousands of businesses that rely on some level of surplus line protection to keep their doors open, surplus lines is an important segment of the market. The New York surplus lines market accounted for $4.5 billion in gross premiums written in 2018, according to a survey by Business Insurance.

Claims Payments

Insurance company claims payments help ensure the economic security of individuals and businesses and help sustain a number of related industries. In 2019 these payments in New York as measured by direct property/casualty incurred losses, were $28.4 billion. Life insurance claims and benefits payouts in New York totaled $46.4 billion in 2019.

Catastrophes

The insurance industry plays a vital role in helping individuals and businesses prepare for and recover from the potentially devastating effects of a disaster such as a catastrophic hurricane or storm or wildfire.

New York was one of over a dozen states impacted by Hurricane Sandy in October 2012. Sandy caused $18.8 billion in U.S. insured property losses, excluding flood insurance claims covered by the federal flood insurance program, according to estimates from ISO’s PCS unit. Sandy was the fifth most costly U.S. hurricane, after hurricanes Katrina, Maria, Irma and Harvey.

At $9.6 billion, New York suffered the largest private insurance losses from Sandy, followed by New Jersey with $6.3 billion, according to ISO.

 

Leading Writers

Below are tables showing the state’s leading insurance companies, based on market share, and links to state by state comparison tables.

Top 10 Writers Of Commercial Insurance In New York By Direct Premiums Written, 2019 (1)

 

Rank Group/company Direct premiums written ($000) Market share
1 Chubb $2,084,818 7.6%
2 Travelers Companies Inc. 1,910,551 6.9
3 Berkshire Hathaway Inc. 1,303,556 4.7
4 Liberty Mutual 1,143,530 4.2
5 American International Group (AIG) 1,078,466 3.9
6 Hartford Financial Services 1,056,664 3.8
7 Zurich 956,913 3.5
8 CNA 800,989 2.9
9 Tokio Marine Group 719,155 2.6
10 AmTrust Financial 650,750 2.4

(1) Before reinsurance transactions.

Source: NAIC data, sourced from S&P Global Market Intelligence, Insurance Information Institute.

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Top 10 Writers Of Homeowners Insurance In New York By Direct Premiums Written, 2019 (1)

 

Rank Group/company Direct premiums written ($000) Market share
1 Allstate Corp. $780,430 13.9%
2 State Farm 726,429 12.9
3 Chubb 645,689 11.5
4 Travelers Companies Inc. 448,502 8.0
5 Liberty Mutual 444,545 7.9
6 National General Holdings Corp. 230,084 4.1
7 NYCM Insurance Group 191,179 3.4
8 Heritage Insurance 175,810 3.1
9 American International Group (AIG) 163,249 2.9
10 USAA Insurance Group 150,120 2.7

(1) Before reinsurance transactions.

Source: NAIC data, sourced from S&P Global Market Intelligence, Insurance Information Institute.

View Archived Tables

Top 10 Writers Of Life Insurance/Annuities In New York By Direct Premiums Written, 2019 (1)

 

Rank Group/company Direct premiums written ($000) Market share
1 MetLife   $32,862,927 31.9%
2 Equitable Holdings   31,483,910 30.5
3 New York Life   4,467,523 4.3
4 Prudential Financial Inc.   3,859,261 3.7
5 TIAA   3,153,286 3.1
6 MassMutual   3,014,463 2.9
7 AIG   2,131,391 2.1
8 Principal Financial Group Inc.   1,835,919 1.8
9 Guardian   1,775,852 1.7
10 John Hancock   1,548,366 1.5

(1) Includes life insurance, accident and health insurance, annuity considerations, deposit-type contract funds and other considerations. Before reinsurance transactions.

Source: NAIC data, sourced from S&P Global Market Intelligence.

View Archived Tables

Top 10 Writers Of Private Passenger Auto Insurance In New York By Direct Premiums Written, 2019 (1)

 

Rank Group/company Direct premiums written ($000) Market share
1 Berkshire Hathaway Inc.   $4,555,220 32.3%
2 Allstate Corp.   1,897,997 13.8
3 State Farm   1,756,075 12.1
4 Progressive   1,477,674 11.2
5 Liberty Mutual   761,979 5.7
6 Travelers   542,543 3.9
7 USAA   422,789 3.1
8 NYCM Insurance   365,370 2.7
9 National General Holdings Corp. 337,462 2.0
10 Nationwide   270,391 1.9

(1) Before reinsurance transactions.

Source: NAIC data, sourced from S&P Global Market Intelligence, Insurance Information Institute.

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State By State Comparison Tables

Directories

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