With its appetite for life insurance in hard times, Australia is among the standouts in Swiss Re’s review of last year’s world insurance market.

While life premiums for industrialised countries generally fell 5.3% in US dollar terms last year, they rose 17.9% to $US43 billion ($53.3 billion) in Australia.

Australia even outperformed emerging markets, which registered a 14.6% increase.

Non-life premiums eased 0.8% globally last year, with Australia recording a 1.5% drop to $US28 billion ($34.7 billion). Emerging markets were up 7.1%, with China leading the charge.

China’s life premium growth was dramatic – up 40.9% at $US96 billion ($119 billion).

Swiss Re says the global financial crisis hit life insurance premium growth, mainly in the second half of 2008, when falling stock markets slammed sales of unit-linked products and products linked to equity markets.

The study reports a subdued year overall for world insurers, with premiums slipping 2% to $US2.49 trillion ($3.1 trillion) once adjusted for inflation.