Overview of Nevada’s insurance industry
Insurance is a business where many people share the losses of comparatively few. The purpose of insurance is to help pay for losses that you ordinarily would not be able to afford on your own. Without insurance, few people could afford the risk of owning a home or car. Lenders could not afford the risk of making loans for new business ventures or construction.
Here are some quick facts about the insurance industry…
In the United States…
- The insurance industry is divided into two broad categories–property/casualty, which includes auto, home and business insurance, and life/health.
- The insurance industry collected $1.2 trillion in premiums during 2015 — 55 percent for life and health, 45 percent for property/casualty insurance.
- Invested assets of U.S insurance companies totaled $5.2 trillion in 2015. Property/casualty companies invest 62 percent of their assets in bonds, which can be sold quickly in the event of a catastrophe or series of catastrophes.
- Insurance companies will pay $671 million in state taxes during fiscal years 2015 -17, the fourth largest source of state revenue.
- Insurance companies, agencies and related businesses employed 18,333 people with a payroll of $1.1 billion.
- Property/casualty insurers paid about $2.8 billion in claims in 2015.
- The average driver paid $936 for auto insurance in 2013, the 12th highest average in the U.S.
- The average homeowner paid $687 for homeowners insurance in 2013, the 46th highest in the U.S.
- The Insurance Division oversees insurer solvency, market conduct, rates, and provides assistance and information to consumers. Personal lines such as auto and homeowners insurance and workers compensation are the most highly regulated forms of insurance.
- Eleven property/casualty and three life insurance companies are domesticated in the state of Nevada.
- 880 property/casualty companies and 445 life/health companies are licensed and regulated by the state of Nevada.
- Source: Insurance Information Institute, The 2016 Insurance Fact Book