Report: Pandemic to batter top insurance brands

THE world’s top 100 most valuable insurance brands could lose up to US$100 billion worth of brand value as a result of the COVID-19 pandemic, according to the Brand Finance Insurance 100 2020 report.

Brand Finance’s analysis shows that the insurance sector is one of the most heavily impacted industries globally and could face a potential 20 percent loss in brand value as a result of the coronavirus outbreak.

The pandemic is set to wreak havoc on the sector this year both financially, as brands that already operate on wafer-thin margins are being drowned in claims, and reputationally, with brands which refuse to pay out

COVID-19 related claims risking potential irreparable damage, the report finds.

“The COVID-19 pandemic is going to hit the insurance sector hard,” said David Haigh, CEO of Brand Finance.

“Undoubtedly, we are going to witness revenue slowdown for all brands across the sector.”

With a total brand value reaching US$151.5 billion, China is home to the most valuable insurance brands in the world. Ping An leads the way for the 11 Chinese insurance brands that feature in this year’s ranking.

The Shenzhen-based company has recorded an impressive 20 percent brand value growth to US$60.6 billion, extending its lead further as the world’s most valuable insurance brand.

Five Chinese brands feature in the top 10: Ping An; China Life (down 10 percent to US$23.6 billion); AIA (up 17 percent to US$18.2 billion); CPIC (up 31 percent to US$14 billion) and PICC (up 20 percent to US$11 billion).

With a brand value growth of 31 percent to US$14.0 billion, Shanghai-based CPIC is the fastest-growing brand in the top 10 by brand value and strength.