Japan Health Insurance Market

Japan Health Insurance Market Size Report – In a Glance

As per the survey report on Japan health insurance market, the market is expected to foresee a CAGR value of 8.1% during 2025-2035, and further generate a market size of USD 302.7 billion by the end of 2035. In 2025, the market size was value at USD 151.7 billion revenue.

• The Japan health insurance market’s growth is driven by growing aging population and need for health insurance.
• KDMI analyst’s growth analysis foresees slow adoption of digital transformation as the restraint for Japan health insurance market.

Japan Health Insurance Market Analysis

Health Insurance is a type of insurance that covers medical expenses and provides assistance to an individual. A health insurance policy is a contract between individual and insurance company, in which individual pays premium and claims it during medical expenses like medicines, surgery, doctor’s consultation fees, and others. The Japan health insurance market growth is driven by the growing aging population in the country leading to the need for healthcare services. Japan’s statutory health insurance system (SHIS) covers 98.3% of population and the average cost is about 35-40,000 JPY per month, leading to the growth of Japan health insurance market. Axa Life Insurance Co Ltd, MetLife Insurance Co Ltd, and Tokio Marine Holdings Inc are some of the significant participants in the Japan health insurance market.

Japan Health Insurance Market Growth Drivers and Restraints

Growth Drivers

• Aging population and increasing demand for healthcare services – Japan is one of the largest countries with elder population, accounting to 29% of population aged 65 and above, leading to the growing need for healthcare services. The growing demand for advanced healthcare services is leading to a greater reliance on the health insurance system. As the life expectancy grows, the chronic diseases like diabetes, cardiovascular diseases, and cancer is also rising, which demands for proper health insurance systems that is capable of bearing medical costs by providing excellent services. Elderly people require frequent medical care, check-ups, and specialized treatments, that emphasis public and private health insurance providers to expand their reach. The governmental support to address this challenge, help insurance providers by promoting preventive healthcare and insured health plans that contributes in the growth of Japan health insurance market.
• Digital Health innovations and technological advancements – The adoption of latest technological advancements in healthcare sector drives the growth of Japan health insurance market. The rapid advancement in digital healthcare system, has expanded market reach by providing supportive and accessible services through online platforms and applications. The government and private healthcare providers are integrating AI, big data analytics, and blockchain technology in leveraging health insurance market. Telemedicine and tele-health consultations has gain popularity with the growing adoption of technological innovations.

Restraints

• Slow adoption of Digital transformation – The country’s health insurance sector is slow in adopting digital innovations than other industries, which restraints the growth of Japan health insurance market. The dependency on outdated system, affects the public demand for fast and accessible service. Many outdated data management systems lead to inefficiencies that cause serious impact on patient’s or individual’s data. Traditional methods possess certain inefficiencies that doesn’t match with modernized and smart cities, which leads to uneven growth of Japan health insurance market.

Japan Health Insurance Market Segmentation

Our experts at KD Market Insights have segmented the Japan health insurance market research report as:

Analyst’s Observation on Japan Health Insurance Market Recent Developments

Over the years, the experts at KD Market Insights have been observing the recent developments associated with Japan health insurance market trends. Our expert’s market forecast analysis has recorded the market players adopting plentiful of key strategies including new product launches, mergers & acquisitions, and collaborations.

GE HealthCare has acquired 50% stake of Sumitomo Chemical’s in Nihon Medi-Physics (NMP), with the aim to enhance patient’s access to next-gen services in the medical industry. As part of acquisition, NMP can further expand its expertise in developing and manufacturing proprietary and in-licensed radiopharmaceuticals.

ITOCHU has announced its partnership with Neo Insurance Solutions LLC and entered into the retail insurance distribution industry in the United States. ITOCHU’s aim is to expand its business of local retail insurance operations worldwide.

Japan Health Insurance Market Competitive Landscape

Some of the significant participants who top the Japan health insurance market share:

• AXA Life Insurance Co., Ltd.
• MetLife Insurance Co., Ltd.
• AIG General Insurance Co., Ltd.
• Meiji Yasuda Life Insurance Company
• MS&AD Insurance Group Holdings, Inc.
• National Mutual Insurance Federal Agricultural Cooperation
• Nippon Life Insurance Company
• Pacific Prime Insurance Brokers Limited (PPIB)
• Sumitomo Life Insurance Company
• Tokio Marine Holdings, Inc.