Here, there are various ways to rank insurance companies in terms of size. Companies can be measured by their market capitalization (the value of a company's stocks on stock exchange) or by using sales statistics, such as net written premiums or the number of policies sold in a year. Here, we will evaluate the top 10 largest insurance companies by market cap, market share, and assets.
Insurance Companies & Economy
1. Insurance companies play a crucial role in the global economy, although they may not be as solid as investment banks or hedge funds.
2. Insurance companies come in many sizes and specialize in various policies, from health to life to property and casualty, to protect individuals from loss and damages.
3. Market capitalization, or market cap, is the value of a company's outstanding shares of stock.
4. Some insurance companies are mutually owned, in which the members are the owners.
5. When an insurance company is ranking, the product line is important to categorize them.
Largest Insurance Companies by Market Capitalization
Insurance companies come in many sizes and specialize in various policies, from health to life to property and casualty, to protect individuals from loss and damages.
Large companies are typically established as safe investments and offer steady growth and low risk. Mid-cap companies also have established presence, but with a higher potential for growth. Finally, small-cap companies have the highest potential for growth and are often newer companies. Investing in these companies presents a higher risk, as they are less established and less stable compared to large and mid-cap companies.
Market capitalization or market cap is the total value of a company's stocks and it is calculated by multiplying the number of outstanding shares by the current share price. It is a quick way for investors to estimate a company's value.
Publicly Traded Health Insurance and Managed Health Care Companies
Publicly Traded Non-health Insurance Companies
Not all insurance companies are publicly traded. In fact, many insurers are structured as mutual companies, where policyholders of participating policies are essentially partial owners of the company. The mutual company model for an insurance company dates back hundreds of years, and there are certain benefits conferred on policyholders that do not exist with publicly traded (stock company) insurers.
Fact-American Family Insurance is the largest mutual insurance company in the U.S.