The Colombian insurance sector has experienced notable growth in 2023, with significant increases in commissions paid to both insurance intermediaries and bancassurance channels, reflecting broader trends and strategic shifts within the industry.
The commission amounts paid to insurance intermediaries have seen a remarkable increase over the past year. In 2023, these commissions reached 3.639 trillion Colombian pesos, up from 3.207 trillion in 2022. This represents a year-over-year growth of 13%, signifying a robust expansion in the role and impact of intermediaries within the market.
Similarly, commissions paid through bancassurance and other sales channels also rose significantly in 2023, totaling 2.904 trillion pesos, up from 2.640 trillion in the preceding year. This 10% increase underscores the growing importance of alternative distribution networks in the insurance landscape driven by the convenience and reach these channels offer to a broader customer base.
Commission amounts paid to insurance intermediaries, market share growth ranking
Commission amounts paid to bancassurance, market share growth ranking
Market share dynamics within these segments highlight competitive shifts and strategic realignments. In the intermediaries' segment, Suramericana led with a market share of 25.5% in 2023, followed by Mapfre and Bolivar, which held shares of 8.1% and 7.6% respectively. This configuration points to Suramericana's dominant position and the competitive landscape in which these players operate.
For bancassurance and other alliances, Suramericana again topped the charts with an increased market share of 29.7%, followed by Alfa and Cardif Colombia, which captured 18.4% and 14.9% of the market respectively. The growth in Suramericana’s share suggests a successful strategy in leveraging banking relationships and alliances to distribute insurance products.
The dynamics of market share capture among insurers are equally telling. In commissions to agents and brokers, Bolivar showed the most significant gain, increasing its market share by about 2.15 percentage points from 2022 to 2023. It was followed by Colmena and SBS Seguros Colombia, reflecting aggressive and possibly innovative strategies in agent-based distribution. On the other hand, in the bancassurance segment, AXA led the market share gains with an increase of 1.42 percentage points, followed by Suramericana and Cardif Colombia.
This data paints a picture of an evolving insurance market in Colombia, characterized by growing volumes and shifting competitive positions. The increases in commissions paid reflect not only market growth but also strategic realignments and adaptations by key players.
