Digital Insurance Platform Market by Component (Tools and Services), End-Users (Insurance Companies, Third-Party Administrators and Brokers, and Aggregators), Insurance Application, Deployment Type, Organization Size, and Region - Global Forecast to 2023
The digital insurance platform market is expected to grow at a CAGR of 13.7% during the forecast period.
The digital insurance platform market size is expected to grow from USD 86.20 billion in 2018 to USD 164.13 billion by 2023, at a Compound Annual Growth Rate (CAGR) of 13.7% during the forecast period. The growth in the adoption Internet of Things (IoT) products, rise in the shift of insurers’ focus from product-based strategies to customer-centric strategies, and increased awareness among insurers to digitalize channels are expected to drive the growth of the digital insurance platform market. The major factor that is expected to restrict the growth of the digital insurance platform market is the difficulty to integrate digital insurance platforms with legacy systems.
The managed services segment is expected to account for the larger market size during the forecast period.
Managed services are provided by third-party and include monitoring and maintenance of computers, networks, and software. Managed services providers help organizations improve their productivity and ensure smooth functioning of the business processes with effective utilization of resources. Moreover, these services help organizations formulate effective strategies to solve complex business problems.
The small and medium-sized enterprises segment is expected to grow at a higher CAGR during the forecast period.
The Small and Medium-sized Enterprises (SMEs) segment is expected to grow at a higher CAGR during the forecast period. Cost-effectiveness is the important need of SMEs, as they always face constraints in marketing themselves and gaining visibility due to their limited budgets. In this digital era, digital insurance platforms can be extremely helpful to insurers in achieving business objectives, generating revenues, and finding new business opportunities. Most of the SMEs prefer cloud-based solutions over on-premises solutions, and this adoption trend is expected to accelerate in the near future. This adoption enables the cloud segment to account for a considerable market size during the forecast period. Hence, the SMEs segment has a huge potential to flourish in the digital insurance platform market during the forecast period.
Asia Pacific is expected to witness the highest growth rate during the forecast period.
North America is estimated to account for the largest market share in 2018 while APAC is expected to grow at the highest CAGR during the forecast period. APAC is expected to be a money-spinning market for digital insurance platform providers during the forecast period, considering the untapped opportunities and the increasing commercial investment in different industry verticals in the region. Multinational companies are expected to emphasize on exploring the APAC market by partnering with local companies, channel partners, and technology partners. Moreover, the increasing adoption of the cloud and mobile technologies by large diversified populations and the rapid rise in the number of InsureTech companies have led to the rapid implementation of digital insurance platforms in the APAC countries, such as Japan, China, and Australia.
In the process of determining and verifying the market size for several segments and subsegments gathered through secondary research, extensive primary interviews were conducted with the key people. The break-up of profiles of the primary participants is given below:
By Company Type: Tier 1 - 40%, Tier 2 - 35%, and Tier 3 - 25%
By Designation: C-level - 45%, D-level - 30%, and Others - 25%
By Region: North America - 35%, Asia Pacific - 30%, Europe - 20%, and RoW - 15%
The major vendors in the digital insurance platform market include Accenture (US), TCS (India), IBM(US), DXC Technology (US), SAP (Germany), Oracle (US), Microsoft (US), Infosys (India), Pegasystems (US), Appian (US), Cognizant (US), Mindtree (India), Prima Solutions (France), Fineos (Ireland), Bolt Solutions (US), Majesco (US), EIS Group (US), Cogitate Technology Solutions (US), Inzura (UK), Duck Creek (US), RGI Group (Italy), StoneRiver (US), Vertafore (US), iPipeline (US), and eBaoTech (China).
The digital insurance platform market has been segmented by component, end-user, insurance application, deployment type, organization size, and region. The report is expected to help market leaders/new entrants in this market in the following ways:
The report segments the digital insurance platform market comprehensively and provides the closest approximations of the revenue numbers for the overall market and its subsegments. The market numbers are further split across different insurance applications and regions. Moreover, the report splits the market into on-premises and cloud deployment types.
Reasons to Buy the Report
From an insight perspective, this research report focuses on various levels of analysis - the market size of the global market and subsegments; analysis of the top players and company profiles, which together comprise and discuss basic views on the competitive landscape; emerging and high-growth segments of the digital insurance platform market; and high-growth regions and their respective drivers, restraints, challenges, and opportunities.
The report is expected to enrich both established firms, as well as new entrants/smaller firms to gauge the pulse of the market, which in turn, could help firms in garnering a greater market share.