In a historic first, senior citizens will outnumber youth globally by 2050, Capgemini’s World Property and Casualty Insurance Report 2025 has highlighted. According to the report, the ageing population will drive urbanisation and influence evolving consumer preferences and, as a result, insurance structures will change across risk, protection, and service delivery.
The 18th edition of the report, explores how the world will look in 2050 and what it means for insurers. Demographic change will have far-reaching implications on where people live, how they move, and what they prioritise.
The data tells a compelling story. By 2050, as the 60-plus population will grow by 78 per cent, the dependency burden on working-age individuals will increase by 63 per cent, with every four workers supporting one senior dependent. These demographic transformations challenge existing societal systems. Further, nearly 70 per cent of the global population will live in urban centres (up from 58 per cent today), creating unprecedented risk concentrations. Consumer preferences will also evolve as aging populations prioritize experiences over possessions.
These shifts will change people’s purchasing behaviour, mobility patterns, and technology exposure, significantly impacting all major P&C insurance business lines. In auto insurance, changing mobility patterns will accelerate the transition towards commercial coverage models. Property insurance will evolve from asset protection to resilience-based solutions that support ageing-in-place options.
Liability coverage will expand to tackle emerging risks associated with automation and an increasingly smaller and older workforce.
According to the authors of the report, success in meeting insurance industry challenges across this transformed landscape will require continuous evolution, not just one-time transformation. “Success for insurers in this transformed landscape will require a multi-horizon approach – one that balances immediate performance with long-term positioning across markets undergoing different demographic trajectories.
“To thrive, suppliers will have to adapt their strategies, enhance their operating models, strengthen risk management capabilities, and deploy capital strategically. They will leverage technology for efficiency and to develop advanced forms of protection that align with the evolving needs of customers and their risk profiles.
“In this ever-changing world with ageing populations, the World Property and Casualty Insurance Report 2025 leaves insurance boards and executives with thought-provoking questions around market strategy, portfolio selection, operations, and the optimal balance of human and AI talent.
“The road ahead presents opportunities for those willing to lead with empathy, embrace change, and create a lasting impact.”
For more information or to download the full report click here