PUBLISHER: Polaris Market Research | PRODUCT CODE: 1339062
PUBLISHER: Polaris Market Research | PRODUCT CODE: 1339062
The global microinsurance market size is expected to reach USD 139.33 billion by 2032, according to a new study by Polaris Market Research. The report "Microinsurance Market Share, Size, Trends, Industry Analysis Report, By Provider; By Model Type (Partner Agent Model, Full-Service Model); By Product Type; By Distribution Channel; By End-use; By Region; And Segment Forecasts, 2023 - 2032" gives a detailed insight into current market dynamics and provides analysis on future market growth.
Key factors responsible for market growth include rise in disposable income of under-served population strata, technological advancements such as surge in smart phone users, low penetration rate, and favorable government supported policies and regulatory guidelines. The expansion of high-speed mobile networks worldwide has also played a significant role in the growth of the microinsurance industry. With more people having access to high-speed mobile networks, microinsurance providers can reach more underserved populations, particularly in remote areas, where traditional distribution channels may be limited.
Blockchain technology is being utilized in the microinsurance industry to offer various benefits to both insurance providers and customers. One of the primary benefits is the reduction of high insurance premiums. By utilizing blockchain technology, insurance providers can reduce overhead costs associated with traditional insurance processes, such as underwriting, policy administration, and claims processing. This, in turn, allows insurance providers to offer more affordable insurance products to low-income populations.
Both P2P insurance and on-demand coverage are innovative business models that are gaining popularity in the microinsurance industry. These models provide customers with more options for insurance coverage, while reducing costs and increasing efficiency for insurance providers. As technology continues to advance, it is likely that we will see more innovative business models emerge in the microinsurance space.
On-demand coverage, also known as "pay-as-you-go" insurance, allows customers to purchase coverage for a specific period and only pay for the insurance they need. This model is particularly useful for low-income individuals who may not require coverage throughout the year but need it for specific events or situations. On-demand coverage leverages technology to allow customers to purchase insurance instantly and directly from their mobile devices, making it more convenient and accessible.
The partner agent model segment dominated the market in 2022. This is due to a strong connection with local partners and rural communities
The life Insurance segment has dominated the market. Rural income groups need more resources and access to tailor-made life insurance policies.
The financial institutions' segment dominated the market due to their expertise as per consumer needs & preferences and cross-selling of products.
North America registered a steady growth rate, owing to the use of technology and tailor-made policies.
The global players include: Hollard Insurance Company, American International, Bharti AXA, SBI Life Insurance, ICICI Prudential, Banco do Nordeste, afpgen.com.ph, Climbs, Allianz, & Bajaj Allianz
Polaris Market Research has segmented the microinsurance market report based on provider, model type, product type, distribution channel, end use, and region: