Life insurance premiums in mature Asia-Pacific markets including Australia are expected to rise only 1.4% in the next eight years, according to a new report from Munich Re.

But emerging markets in the region are predicted to grow 8.3%.

Predicted growth for mature Asia is only slightly above western Europe, at 1.3%.

Latin America and the Middle East and North Africa are among the top performers – at 7.1% and 6.8% respectively.

“Given their strong growth rates, the emerging markets are gaining more and more weight in the international insurance industry,” the report says.

“The emerging markets’ share of the anticipated additional premium volume is expected to rise from 20% [last year] to 47% by 2025.”

Last year life insurance premium for mature Asia-Pacific totalled €595 billion ($856 billion), while emerging Asia totalled €335 billion ($482 billion).

Despite a poor prediction for the Middle East, the United Arab Emirates is tipped to record the strongest premium growth by nation, with 10% over the next eight years.

Indonesia, Philippines and China are the next hotspots, at 9.2%, 9.1% and 8.8% respectively.

The report attributes this growth to rising living standards and insurance needs.

“Interest rate increases and demographic trends could revitalise the life insurance segment in the industrialised countries, as well,” it says.

Munich Re predicts the global life insurance market share for emerging Asia – currently at 21.4% – will match Europe (24.5%) by 2025.

North America will remain the largest market, with 27.8%.