Asia is seeing a significant growth in its high-net-worth (HNW) population. The HNWIs in the region are now looking for ways beyond generating wealth to planning their wealth and legacy, but according to a new report by McKinsey, insurance is an asset class they are neglecting.

McKinsey found that only 15% to 20% of HNWIs in the region have integrated life insurance into their wealth planning. This is an untapped opportunity for insurers as HNWI new-business premiums are projected to reach $100bn to $140bn by 2030, according to the report.

It argues that insurers pursuing this market with their existing retail playbook are ill-suited to capture it. Instead, it suggests they need a dedicated business with its own underwriting authority, cross-border operating model, and partnerships across the broader wealth landscape for holistic service offerings.

Key findings of the report include that personal assets are expected to reach $120trn by 2030, 40% of the global total, with $5.8trn set to transfer intergenerationally, mostly among ultra-HNWIs.

Meanwhile, three structural shifts are reshaping the market. These include fast-growing HNWI segments with evolving needs, with insurance moving from a one-off product to a lifelong client engagement, and the marketplace splitting between retail-first insurers moving upmarket and dedicated HNWI specialists.

Multi-jurisdiction booking is also becoming a necessity, with Bermuda, Hong Kong, and Singapore each serve distinct roles by client domicile and need.

In addition, artificial intelligence is raising the competitive bar across underwriting, KYC/AML, and distribution, while lowering barriers for wealthtech entrants.

Finally, McKinsey found that six building blocks define a competitive HNWI business. These are target-client clarity, solution engineering, underwriting as a strategic asset, re-anchored distribution, a cross-border operating model, and a premium service model.