The market for vehicle insurance is projected to grow at a CAGR of around 5.9% from 2020 to 2027 and expected to reach the market value of around US$ 1,096.2 Bn by 2027.
Vehicle Insurance is also termed car insurance, motor insurance, or auto insurance. This encompasses the insurance for cars, trucks, motorcycles, and other road vehicles. The basic reason behind having insurance is financial protection against physical damage or bodily injury resulting from traffic collisions and against liability that could also arise from incidents in a vehicle. This can also cover the protection against the theft of the vehicle and against damage to the vehicle from events keying weather or natural disasters, and damage sustained by colliding with stationary objects. Moreover, the terms and specifications of insurance coverage may differ region by region.
Market Dynamics
The rising number of road accidents across the globe due to increasing traffics and the adoption of careless driving habits, as well as the practice of extra load on heavy vehicles, are supporting the demand for protection against vehicle accidents. The implementation of stringent government regulations for the adoption of auto insurance is supporting the growth of market value. The increasing automobile sales globally due to the surging per capita income of consumers especially in developing economies are further bolstering the market value. The implementation of technologies in existing products and service lines and the rising demand for third-party liability coverage in emerging economies is further expected to propel the market growth.
On the other hand, the increasing adoption of autonomous vehicles is likely to negatively affect the insurance market over the forecast period from 2020 to 2027.
Covid-19 impact on the Vehicle Insurance Market
The Covid-19 pandemic has badly affected almost every industry vertical due to the implementation of nationwide lockdowns in most of the economies across the globe. To overcome the several challenges associated with the market operations, insurers have established new developments in existing policies like pay-as-you-drive insurance, usage-based insurance, or telematics insurance that charges a premium based on the usage of the car. Additionally, insurers have adopted advanced technologies to enhance the claim processes and to provide a better user experience.
Segment Instance of Global Vehicle Insurance Market
Third-party only segment is having a potential share in the global Vehicle Insurance Market
In 2019, the third party only (TPO) insurance is leading in the market as it is the basic insurance that provides protection if the vehicle operator sued for a physical injury or damage to someone else's property. With this insurance, the insured party can cover financial loss in the event of bodily injury, death, and damage of property to the third party. The Motor Vehicle Act of India imposes consumers to have compulsory third-party liability coverage, in order to protect insured and uninsured people from accidents. According to the Insurance Information Bureau (IIB), only 6.5 to 7 crore vehicles have insurance cover, against around 18 crore registered vehicles on Indian roads. This is another factor projected to create growth over the forecast period.
Asia Pacific is projected to experience fastest growth over the forecast period from 2020 to 2027
The increasing production and demand of passenger vehicles in the region especially in developing economies including China and India are supporting the regional market growth. The significant rise in demand for vehicles due to the increasing middle-class population and their demand for passenger vehicles are simultaneously increasing is propelling the value. The stringent government regulations for the insurance of vehicles are further bolstering the market value. For instance, the Insurance Regulatory and Development Authority of India (IRDAI) has mandated a 3-year insurance policy for cars and a 5-year policy for motorbikes at the time of sale and registration.
Key Market Player
The players profiled in the report include Admiral Group Plc, Allianz SE, Allstate Insurance Company, Berkshire Hathaway Inc., China Pacific Insurance (Group) Co., Ltd., GEICO, People’s Insurance Company of China, Ping An Insurance (Group) Company of China, Ltd., State Farm Mutual Automobile Insurance Company, and Tokio Marine Group.
Market Segmentation
Market By Coverage
Third-party only
Third-party fire & theft insurance
Comprehensive insurance
Market By Vehicle Type
Passenger Cars
Light Commercial Vehicle (LCV)
Heavy Commercial Vehicle (HCV)/Trucks & Buses
Market By Distribution Channel
Insurance Agents/Brokers
Direct Response
Banks
Others
Market By Application
Personal
Commercial
Market By Geography
North America
• U.S.
• Canada
Europe
• U.K.
• Germany
• France
• Spain
• Rest of Europe
Asia-Pacific
• China
• Japan
• India
• Australia
• South Korea
• Rest of Asia-Pacific
Latin America
• Brazil
• Mexico
• Rest of Latin America
Middle East & Africa
• GCC
• South Africa
• Rest of Middle East & Africa
CHAPTER 1. Industry Overview of Vehicle Insurance
1.1. Definition and Scope
1.1.1. Definition of Vehicle Insurance
1.1.2. Market Segmentation
1.1.3. Years Considered for the Study
1.1.4. Assumptions and Acronyms Used
1.1.4.1. Market Assumptions and Market Forecast
1.1.4.2. Acronyms Used in Global Vehicle Insurance Market
1.2. Summary
1.2.1. Executive Summary
1.2.2. Vehicle Insurance Market By Coverage
1.2.3. Vehicle Insurance Market By Vehicle Type
1.2.4. Vehicle Insurance Market By Distribution Channel
1.2.5. Vehicle Insurance Market By Application
1.2.6. Vehicle Insurance Market by Regions
CHAPTER 2. Research Approach
2.1. Methodology
2.1.1. Research Programs
2.1.2. Market Size Estimation
2.1.3. Market Breakdown and Data Triangulation
2.2. Data Source
2.2.1. Secondary Sources
2.2.2. Primary Sources
CHAPTER 3. Market Dynamics And Competition Analysis
3.1. Market Drivers
3.1.1. Driver 1
3.1.2. Driver 2
3.2. Restraints and Challenges
3.2.1. Restrain 1
3.2.2. Restrain 2
3.3. Growth Opportunities
3.3.1. Opportunity 1
3.3.2. Opportunity 2
3.4. Porter’s Five Forces Analysis
3.4.1. Bargaining Power of Suppliers
3.4.2. Bargaining Power of Buyers
3.4.3. Threat of Substitute
3.4.4. Threat of New Entrants
3.4.5. Degree of Competition
3.5. Market Concentration Ratio and Market Maturity Analysis of Vehicle Insurance Market
3.5.1. Go To Market Strategy
3.5.1.1. Introduction
3.5.1.2. Growth
3.5.1.3. Maturity
3.5.1.4. Saturation
3.5.1.5. Possible Development
3.6. Technological Roadmap for Vehicle Insurance Market
3.7. Value Chain Analysis
3.7.1. List of Key Manufacturers
3.7.2. List of Customers
3.7.3. Level of Integration
3.8. Regulatory Compliance
3.9. Competitive Landscape, 2019
3.9.1. Player Positioning Analysis
3.9.2. Key Strategies Adopted By Leading Players
CHAPTER 4. Vehicle Insurance Market By Coverage
4.1. Introduction
4.2. Vehicle Insurance Revenue By Coverage
4.2.1. Vehicle Insurance Revenue (US$ Mn) and Forecast, By Coverage, 2016-2027
4.2.2. Third party only
4.2.2.1. Third party only Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
4.2.3. Third party fire & theft Insurance
4.2.3.1. Third party fire & theft Insurance Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
4.2.4. Comprehensive Insurance
4.2.4.1. Comprehensive Insurance Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
CHAPTER 5. Vehicle Insurance Market By Vehicle Type
5.1. Introduction
5.2. Vehicle Insurance Revenue By Vehicle Type
5.2.1. Vehicle Insurance Revenue (US$ Mn) and Forecast, By Vehicle Type, 2016-2027
5.2.2. Passenger Cars
5.2.2.1. Commercial & Industrial Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
5.2.3. Light Commercial Vehicle (LCV)
5.2.3.1. Light Commercial Vehicle (LCV) Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
5.2.4. Heavy Commercial Vehicle (HCV)/trucks & buses
5.2.4.1. Heavy Commercial Vehicle (HCV)/Trucks & Buses Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
CHAPTER 6. Vehicle Insurance Market Revenue By Distribution Channel
6.1. Introduction
6.2. Vehicle Insurance Revenue (US$ Mn) By Distribution Channel
6.2.1. Vehicle Insurance Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
6.2.2. Insurance Agents/Brokers
6.2.2.1. Insurance Agents/Brokers Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
6.2.3. Direct Response
6.2.3.1. Direct Response Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
6.2.4. Banks
6.2.4.1. Banks Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
6.2.5. Others
6.2.5.1. Others Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
CHAPTER 7. Vehicle Insurance Market By Application
7.1. Introduction
7.2. Vehicle Insurance Revenue (US$ Mn) By Application
7.2.1. Vehicle Insurance Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
7.2.2. Personal
7.2.2.1. Personal Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
7.2.3. Commercial
7.2.3.1. Commercial Market Revenue (US$ Mn) and Growth Rate (%), 2016-2027
CHAPTER 8. North America Vehicle Insurance Market By Country
8.1. North America Vehicle Insurance Overview
8.2. U.S.
8.2.1. U.S. Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
8.2.2. U.S. Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016-2027
8.2.3. U.S. Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016-2027
8.2.4. U.S. Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016-2027
8.3. Canada
8.3.1. Canada Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
8.3.2. Canada Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016-2027
8.3.3. Canada Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016-2027
8.3.4. Canada Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016-2027
8.4. North America PEST Analysis
CHAPTER 9. Europe Vehicle Insurance Market By Country
9.1. Europe Vehicle Insurance Market Overview
9.2. U.K.
9.2.1. U.K. Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
9.2.2. U.K. Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016-2027
9.2.3. U.K. Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016-2027
9.2.4. U.K. Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016-2027
9.3. Germany
9.3.1. Germany Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
9.3.2. Germany Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016-2027
9.3.3. Germany Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016-2027
9.3.4. Germany Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016-2027
9.4. France
9.4.1. France Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
9.4.2. France Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016-2027
9.4.3. France Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016-2027
9.4.4. France Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016-2027
9.5. Spain
9.5.1. Spain Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
9.5.2. Spain Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016-2027
9.5.3. Spain Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016-2027
9.5.4. Spain Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016-2027
9.6. Rest of Europe
9.6.1. Rest of Europe Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
9.6.2. Rest of Europe Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016-2027
9.6.3. Rest of Europe Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016-2027
9.6.4. Rest of Europe Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016-2027
9.7. Europe PEST Analysis
CHAPTER 10. Asia Pacific Vehicle Insurance Market By Country
10.1. Asia Pacific Vehicle Insurance Market Overview
10.2. China
10.2.1. China Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
10.2.2. China Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
10.2.3. China Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
10.2.4. China Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
10.3. Japan
10.3.1. Japan Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
10.3.2. Japan Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
10.3.3. Japan Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
10.3.4. Japan Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
10.4. India
10.4.1. India Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
10.4.2. India Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
10.4.3. India Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
10.4.4. India Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
10.5. Australia
10.5.1. Australia Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
10.5.2. Australia Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
10.5.3. Australia Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
10.5.4. Australia Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
10.6. South Korea
10.6.1. South Korea Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
10.6.2. South Korea Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
10.6.3. South Korea Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
10.6.4. South Korea Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
10.7. Rest of Asia-Pacific
10.7.1. Rest of Asia-Pacific Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
10.7.2. Rest of Asia-Pacific Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
10.7.3. Rest of Asia-Pacific Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
10.7.4. Rest of Asia-Pacific Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
10.8. Asia Pacific PEST Analysis
CHAPTER 11. Latin America Vehicle Insurance Market By Country
11.1. Latin America Vehicle Insurance Market Overview
11.2. Brazil
11.2.1. Brazil Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
11.2.2. Brazil Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
11.2.3. Brazil Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
11.2.4. Brazil Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
11.3. Mexico
11.3.1. Mexico Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
11.3.2. Mexico Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
11.3.3. Mexico Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
11.3.4. Mexico Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
11.4. Rest of Latin America
11.4.1. Rest of Latin America Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
11.4.2. Rest of Latin America Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
11.4.3. Rest of Latin America Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
11.4.4. Rest of Latin America Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
CHAPTER 12. Middle East & Africa Vehicle Insurance Market By Country
12.1. Middle East & Africa Vehicle Insurance Market Overview
12.2. Saudi Arabia
12.2.1. Saudi Arabia Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
12.2.2. Saudi Arabia Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
12.2.3. Saudi Arabia Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
12.2.4. Saudi Arabia Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
12.3. UAE
12.3.1. UAE Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
12.3.2. UAE Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
12.3.3. UAE Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
12.3.4. UAE Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
12.4. Rest of Middle East & Africa
12.4.1. Rest of Middle East & Africa Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Coverage, 2016-2027
12.4.2. Rest of Middle East & Africa Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Vehicle Type, 2016 - 2027
12.4.3. Rest of Middle East & Africa Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Distribution Channel, 2016 - 2027
12.4.4. Rest of Middle East & Africa Vehicle Insurance Market Revenue (US$ Mn) and Forecast By Application, 2016 - 2027
CHAPTER 13. Player Analysis Of Vehicle Insurance
13.1. Vehicle Insurance Market Company Share Analysis
13.2. Competition Matrix
13.2.1. Competitive Benchmarking of key players by price, presence, market share, and R&D investment
13.2.2. New Product Launches and Product Enhancements
13.2.3. Mergers And Acquisition In Global Vehicle Insurance Market
13.2.4. Partnership, Joint Ventures and Strategic Alliances/ Sales Agreements
CHAPTER 14. COMPANY PROFILE
14.1. Admiral Group Plc
14.1.1. Company Snapshot
14.1.2. Business Overview
14.1.3. Financial Overview
14.1.3.1. Revenue (US$ Mn), 2019
14.1.3.2. Admiral Group Plc 2019 Vehicle Insurance Business Regional Distribution
14.1.4. Product/ Service and Specification
14.1.5. Recent Developments & Business Strategy
14.1.6. Manufacturing Plant Footprint Analysis
14.2. Allianz SE
14.3. Allstate Insurance Company
14.4. Berkshire Hathaway Inc.
14.5. China Pacific Insurance (Group) Co., Ltd.
14.6. GEICO
14.7. People’s Insurance Company of China
14.8. Ping An Insurance (Group) Company of China, Ltd.
14.9. State Farm Mutual Automobile Insurance Company
14.10. Tokio Marine Group
14.11. Others
