Consumer durables is a cataloguing of consumer goods that are not essential to be bought very often as they are fashioned in a way so as to last for an extended period of time. Profits in the consumer durables sector were most profoundly…
BMI View: We expect to see further expansion in France's vast and well developed insurance sector
throughout the coming quarters, as companies roll out new products and distribution strategies. However,
slowing economic growth and an increasingly challenging environment for consumers will weigh on
demand for insurance products, limiting growth in a number of sub-sectors. In particular, the life insurance
segment is expected to slow over the months ahead, as low interest rates and weakening consumer
sentiment temper its expansion. Elsewhere, the motor and property lines will also see growth begin to
moderate due to strengthening economic headwinds. We expect to see limited transactional activity or new
entrants in the market going forward, while French insurers are increasingly focusing their attention
overseas. This is due to the modest growth prospects of France's insurance sector, combined with intense
levels of competition and high barriers to entry.
Latest Updates And Forecasts
? In August 2016, the French government was reportedly in talks with leading insurers regarding solutions
for topping up a fund to provide assistance to French victims of terror attacks and their families. The
fund, which is financed through levies on insurance premiums, has suffered a shortfall following the
recent Paris and Nice attacks.
? France's insurance federation reports that the value of premiums collected by the country's life insurers
had grown during the first seven months of the yea. Premiums totaled EUR82.9bn during the January-
July period, up from EUR81.3bn during the equivalent 2015 period.