Insurtech

Global Insurtech Market to Reach US$306.5 Billion by 2030

The global market for Insurtech estimated at US$32.4 Billion in the year 2024, is expected to reach US$306.5 Billion by 2030, growing at a CAGR of 45.4% over the analysis period 2024-2030. Health, one of the segments analyzed in the report, is expected to record a 46.1% CAGR and reach US$80.5 Billion by the end of the analysis period. Growth in the Auto segment is estimated at 46.1% CAGR over the analysis period.

The U.S. Market is Estimated at US$10.1 Billion While China is Forecast to Grow at 42.0% CAGR

The Insurtech market in the U.S. is estimated at US$10.1 Billion in the year 2024. China, the world`s second largest economy, is forecast to reach a projected market size of US$39.9 Billion by the year 2030 trailing a CAGR of 42.0% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 40.5% and 37.8% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 30.1% CAGR.

Global Insurtech Market - Key Trends & Drivers Summarized

What Is Insurtech and Why Is It Revolutionizing the Insurance Industry?

Insurtech, a blend of "insurance" and "technology," refers to the application of innovative technologies to the insurance sector with the aim of improving efficiency, reducing costs, and enhancing customer experience. Insurtech companies are leveraging technologies such as artificial intelligence (AI), blockchain, big data analytics, and the Internet of Things (IoT) to create new insurance products, streamline operations, and offer personalized services. These technologies are enabling insurers to better understand customer needs, assess risks more accurately, and automate processes, leading to faster and more efficient service delivery. Insurtech is revolutionizing the insurance industry by challenging traditional business models and driving a wave of innovation that is reshaping the way insurance products are developed, marketed, and delivered.

How Are Technological Innovations Driving the Insurtech Market?

The insurtech market is being driven by a range of technological innovations that are transforming the insurance landscape. AI and machine learning are being used to develop sophisticated algorithms for risk assessment, claims processing, and fraud detection, enabling insurers to make more informed decisions and reduce operational costs. Blockchain technology is being explored for its potential to enhance transparency, security, and efficiency in areas such as policy issuance, claims settlement, and reinsurance. Big data analytics is allowing insurers to gain deeper insights into customer behavior and preferences, enabling the development of highly personalized insurance products. The IoT is also playing a key role, particularly in areas such as telematics and smart home insurance, where connected devices provide real-time data that insurers can use to offer usage-based pricing and proactive risk management services. These technological advancements are not only driving the growth of the insurtech market but are also pushing traditional insurers to adopt similar innovations to remain competitive.

Why Is There an Increasing Demand for Insurtech Solutions Among Consumers and Insurers?

The demand for insurtech solutions is increasing among both consumers and insurers due to the significant benefits they offer in terms of convenience, personalization, and efficiency. For consumers, insurtech solutions provide a more seamless and user-friendly experience, with digital platforms that allow for quick and easy access to insurance products, claims processing, and customer support. The ability to customize insurance coverage based on individual needs and usage patterns is also a major draw for consumers, particularly among younger, tech-savvy demographics who value flexibility and transparency. For insurers, insurtech solutions offer the opportunity to optimize operations, reduce costs, and improve risk management through the use of advanced analytics and automation. Additionally, the ability to gather and analyze real-time data from connected devices enables insurers to offer more accurate pricing and proactive risk mitigation services, which can lead to higher customer satisfaction and retention. The increasing demand for digital transformation in the insurance industry is driving both consumers and insurers to embrace insurtech solutions as a means of staying ahead in a rapidly changing market.

What Factors Are Driving the Growth in the Insurtech Market?

The growth in the insurtech market is driven by several factors that are reshaping the insurance industry. One of the primary drivers is the growing consumer demand for digital-first, personalized insurance solutions that offer greater convenience and flexibility. The rise of tech-savvy millennials and Gen Z consumers, who prefer to manage their insurance needs through digital platforms, is particularly fueling this demand. Another key factor is the increasing pressure on insurers to reduce operational costs and improve efficiency, which is driving the adoption of AI, automation, and other advanced technologies that insurtech companies are pioneering. The regulatory environment is also playing a role, as governments and regulatory bodies around the world are beginning to recognize the potential of insurtech to improve access to insurance and enhance consumer protection, leading to the development of more supportive regulatory frameworks. Additionally, the growing availability of venture capital and investment in the insurtech sector is enabling startups to develop innovative solutions and bring them to market more quickly. These factors, combined with the ongoing digital transformation of the insurance industry, are expected to drive continued growth in the insurtech market.

SCOPE OF STUDY:

The report analyzes the Insurtech market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments:
Type (Health, Auto, Home, Specialty, Travel, Business, Other Types); Technology (Cloud Computing, Blockchain, IoT, Machine Learning, Robo Advisory, Other Technologies); End-Use (BFSI, Automotive, Manufacturing, Transportation, Government, Healthcare, Retail, Other End-Uses)

Geographic Regions/Countries:
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; and Rest of Europe); Asia-Pacific; Rest of World.

Select Competitors (Total 232 Featured) -

• Acko General Insurance Limited
• Anorak
• Banc Insurance Agency Inc (Insuritas)
• BDEO
• Bima
• Clover Health Insurance
• Collective Health
• Earnix
• Lemonade
• Metromile
• Moonshot-Internet
• Oscar Health
• Planck
• Policy Bazaar
• Sureify
• ThingCo
• Tractable
• ZhongAn Online Property & Casualty Insurance Co. Ltd

TARIFF IMPACT FACTOR

Our new release incorporates impact of tariffs on geographical markets as we predict a shift in competitiveness of companies based on HQ country, manufacturing base, exports and imports (finished goods and OEM). This intricate and multifaceted market reality will impact competitors by artificially increasing the COGS, reducing profitability, reconfiguring supply chains, amongst other micro and macro market dynamics.

We are diligently following expert opinions of leading Chief Economists (14,949), Think Tanks (62), Trade & Industry bodies (171) worldwide, as they assess impact and address new market realities for their ecosystems. Experts and economists from every major country are tracked for their opinions on tariffs and how they will impact their countries.

We expect this chaos to play out over the next 2-3 months and a new world order is established with more clarity. We are tracking these developments on a real time basis.

As we release this report, U.S. Trade Representatives are pushing their counterparts in 183 countries for an early closure to bilateral tariff negotiations. Most of the major trading partners also have initiated trade agreements with other key trading nations, outside of those in the works with the United States. We are tracking such secondary fallouts as supply chains shift.

To our valued clients, we say, we have your back. We will present a simplified market reassessment by incorporating these changes!

APRIL 2025: NEGOTIATION PHASE

Our April release addresses the impact of tariffs on the overall global market and presents market adjustments by geography. Our trajectories are based on historic data and evolving market impacting factors.

JULY 2025 FINAL TARIFF RESET

Complimentary Update: Our clients will also receive a complimentary update in July after a final reset is announced between nations. The final updated version incorporates clearly defined Tariff Impact Analyses.

Reciprocal and Bilateral Trade & Tariff Impact Analyses:

USA
CHINA
MEXICO
CANADA
EU
JAPAN
INDIA
176 OTHER COUNTRIES.

Leading Economists - Our knowledge base tracks 14,949 economists including a select group of most influential Chief Economists of nations, think tanks, trade and industry bodies, big enterprises, and domain experts who are sharing views on the fallout of this unprecedented paradigm shift in the global econometric landscape. Most of our 16,491+ reports have incorporated this two-stage release schedule based on milestones.

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