PUBLISHER: TechSci Research | PRODUCT CODE: 1355312
PUBLISHER: TechSci Research | PRODUCT CODE: 1355312
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The global Insurtech market is expected to experience robust growth during the forecast period owing to the availability of multiple insurance plans, changing consumer preference as people are preferring to purchase insurance through online mediums.
Global Insurtech Market Scope
Insurtech is the application of technology to enhance the effectiveness, efficiency, and customer experience of business operations in the insurance sector. The purpose of Insurtech is to simplify the purchasing process of insurance products such as life insurance, health insurance, etc. to the consumers. Moreover, it enables people to explore and purchase insurance online without the assistance of an agent, with technologically advanced tools.
Market Overview | |
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Forecast Period | 2024-2028 |
Market Size 2022 | USD 5.65 Billion |
Market Size 2028 | USD 10.14 Billion |
CAGR 2023-2028 | 10.34% |
Fastest Growing Segment | Home Insurance |
Largest Market | North America |
Global Insurtech Market Overview
Social insurance, highly personalized policies, and dynamic premium pricing leveraging new data streams from devices with Internet access are some of the solutions that being discovered by Insurtech sector. The use of Insurtech enables insurers to gather and analyses consumer data that may be particularly applied to target the proper client with a competitive pricing quote.
Insurtech also aids in developing better projections of consumer demands, purchasing quantities, and decision-making and insurance planning through the use of machine learning, artificial intelligence, and cloud computing.
Global Insurtech Market Drivers
One of the main elements promoting the market growth is the industry's significant growth in the banking, financial services, and insurance sectors globally. Furthermore, the industry is expanding as a result of the quick digitization of insurance services. Insurance companies are utilizing unique and advanced technological solutions to enhance client communications and effectively execute automated operations. Insurtech technologies are being used by health insurance companies to speed up the claims processing process. The market is expanding as a result of several technical developments as well as the use of digital core legacy systems for the automation of different office tasks.
Moreover, the industry is expected to be further driven by additional reasons such as the platform's widespread adoption and peer-to-peer business models, as well as the lowering insurance premium rates that is expected to boost the number of individuals obtaining insurance policies. Moreover, cost reduction is a crucial driver of growth in the global Insurtech market. Insurtech businesses are utilizing technology to improve operations and cut costs, which is making insurance more inexpensive and accessible to consumers. Furthermore, Insurtech companies are automating many of the procedures that were formerly done manually, such as underwriting, claims processing, and policy administration. Its automation eliminates the need for human involvement, which are saving time and money.
Global Insurtech Market Trends
The global Insurtech industry is developing quickly and significant trends are influencing its expansion and advancement. Insurtech firms are putting more of an emphasis on providing better client experience by providing more individualized insurance solutions, utilizing digital channels for distribution, and streamlining the claims procedure. Additionally, Insurtech firms are utilizing new innovations such as the Internet of Things (IoT), Artificial Intelligence (AI), and blockchain to develop different insurance products and services that are more accurate, efficient, and economical.
The global Insurtech market is seeing an increase in partnerships with traditional insurers. By providing cutting-edge technologies and solutions, Insurtech businesses are collaborating with traditional insurers to take advantage of their knowledge, customer bases, and distribution networks. To stay ahead of established insurers' distribution networks and reach more clients, Insurtech companies are forming alliances with traditional insurance companies to provide its insurance products via the traditional insurer's website or mobile app. These partnerships are helping Insurtech companies expand their reach and accelerate their growth.
Global Insurtech Market Challenges
Regulation is one of the key challenges faced by the companies in the global Insurtech market. A wide range of regulatory standards must be fulfilled by Insurtech companies in order to operate in the closely controlled insurance sector. In addition, Insurtech businesses frequently need to register and apply for licenses in the countries where they conduct business. For startups looking to innovate quickly and enter new markets, this can be a complex and time-consuming process. Moreover, capital limitations may apply to Insurtech companies, which may affect their capacity to generate money and expand their operations. The purpose of capital requirements is to guarantee that insurers have enough cash on hand to fulfil their contractual responsibilities to policyholders.
Another significant issue facing the global insurance technology market is customer acquisition. For Insurtech businesses, gaining a customer base can be challenging, especially if they are competing against well-known insurance companies with established brands and distribution networks. However, Insurtech startups frequently don't have the same level of brand recognition as more established insurance providers, which can make it challenging to draw in clients. It can be expensive to increase brand exposure through marketing and advertising, especially for businesses that are just starting to expand.
Company Insights
Market Opportunities
Market Segmentation
The global Insurtech market is segmented on the basis of type and premium range. Based on type, market is segmented into life insurance, health insurance, travel insurance, home insurance, property insurance, auto insurance and others include theft insurance, corporate insurance. Whereas, on the basis of premium range the market is categorized into scales such as up to USD 500, USD501-2000, USD2001-5000, and above USD5000.
Company Profiles
Oscar Insurance Corporation, Root Inc., Doma Holdings, Inc., Clover Health Investments Corp, Policybazaar Insurance Brokers Private Limited, Trov Insurance Solutions, LLC, ZhongAn Online P&C Insurance Co. Ltd., Acko General Insurance Limited, Apollo Insurance Solutions Ltd, Prudential Financial, Inc. are some of the major companies operating in the global Insurtech market.
Report Scope:
In this report, global Insurtech market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:
Competitive Landscape
Company Profiles: Detailed analysis of the major companies present in global Insurtech market.
Available Customizations:
With the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:
Company Information