The business world is watching the insurance industry. Mega deals and IPOs are shaking up the global insurance industry in 2018, according to Forbes. In the first quarter of 2018, France's AXA announced plans acquire Bermuda-based XL Group for $15.4 billion, while U.S.-headquartered AIG announced plans to acquire Bermuda-based reinsurer Validus for $5.6 billion.

U.S.-based insurers more globally competitive

The December 2017 U.S. tax overhaul, which makes U.S.-based insurers more globally competitive, could drive further mergers and acquisitions, Forbes notes. Forbes recently released the 16th annual Global 2000 list of the largest public companies, which includes the world's largest insurers. The ranking is based on a composite score from equally-weighted measures of revenue, profits, assets and market value. Can you guess the insurer at the top of the 2018 list of world's largest insurers? The gallery above counts down the top 20 largest insurers on this year's Forbes' Global 2000 list.

What to watch in the future

What should insurers watch for in 2018 and beyond, according to Forbes?

• Rising interest rates.
• Increased geopolitical risk.
• How U.S.-based insurers deploy any extra money they have from tax savings.