A Firm Foundation: How Insurance Supports the Economy

Key Facts: The Insurance Industry’s Contribution To The Utah Economy

The insurance industry in Utah 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 28,893 jobs in Utah in 2017. The Utah insurance industry accounted for about $1.8 billion in compensation in 2017.

Gross State Product

The insurance industry contributed $2.5 billion to the Utah gross state product (GSP) in 2015, accounting for 1.7 percent of the state GSP.

Taxes

Premium taxes paid by insurance companies in Utah totaled $133.2 million in 2016.

Premiums

Direct premiums written by property/casualty insurance companies in Utah totaled $4.4 billion in 2016. In addition, premiums written by life/health insurance companies totaled $5.5 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 Utah surplus lines market accounted for $281.1 million in gross premiums written in 2017, 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 2016 these payments in Utah as measured by direct property/casualty incurred losses, were $2.5 billion. Life insurance claims and benefits payouts in Utah totaled $3.7 billion in 2016.

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. Earthquakes, landslides, floods, winter storms and wildfires are some of the natural disasters that have occurred or could occur in Utah.

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 Utah By Direct Premiums Written, 2018 (1)

 

Rank Group/company Direct premiums written ($000) Market share
1 WCF Insurance  $217,720 9.6%
2 Travelers  138,257 6.1
3 Liberty Mutual  123,597 5.4
4 Auto-Owners Insurance  96,166 4.2
5 Chubb  86,638 3.8
6 Zurich  81,957 3.6
7 American International Group (AIG)  81,002 3.6
8 CNA  63,562 2.8
9 Nationwide  56,656 2.5
10 Farmers Insurance  53,974 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 Utah By Direct Premiums Written, 2018 (1)

 

Rank Group/company Direct premiums written ($000) Market share
1 State Farm $96,669 17.0%
2 Farmers Insurance Group  69,168 12.2
3 Allstate Corp. 57,392 10.1
4 Bear River Mutual Insurance Co 44,389 7.8
5 Liberty Mutual 38,091 6.7
6 USAA Insurance Group 35,174 6.2
7 American Family Insurance Group 31,204 5.5
8 Auto-Owners Insurance Co. 22,197 3.9
9 Farm Bureau Financial Services 17,057 3.0
10 Nationwide Mutual Group 17,053 3.0

(1) Before reinsurance transactions.

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

View Archived Tables

Top 10 Writers Of Private Passenger Auto Insurance In Utah By Direct Premiums Written, 2018 (1)

 

Rank Group/company Direct premiums written ($000) Market share
1 State Farm $325,206 15.3%
2 Allstate Corp. 238,438 11.3
3 Berkshire Hathaway Inc. 202,368 9.6
4 Farmers Insurance Group  185,185 8.7
5 Progressive 184,974 8.7
6 Bear River Mutual Insurance Co 132,121 6.2
7 USAA Insurance Group 105,546 5.0
8 Liberty Mutual 96,829 4.6
9 American Family Insurance Group 96,762 4.6
10 Auto-Owners Insurance Co. 61,738 2.9

(1) Before reinsurance transactions.

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

View Archived Tables

State By State Comparison Tables

Directories

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