Insurance Agency Software Market Report 2026

The insurance agency software market size has grown rapidly in recent years. It will grow from $4.23 billion in 2025 to $4.69 billion in 2026 at a compound annual growth rate (CAGR) of 10.9%. The growth in the historic period can be attributed to increasing digitization of insurance operations, rising complexity of policy administration, growing demand for operational efficiency, expansion of multi-policy agency models, increasing regulatory reporting requirements.

The insurance agency software market size is expected to see rapid growth in the next few years. It will grow to $7.06 billion in 2030 at a compound annual growth rate (CAGR) of 10.7%. The growth in the forecast period can be attributed to increasing adoption of saas-based insurance solutions, rising investments in cybersecurity, expansion of ai-powered analytics tools, growing demand for scalable agency software, increasing focus on end-to-end digital transformation. Major trends in the forecast period include increasing adoption of cloud-based agency platforms, rising demand for automated policy management, expansion of ai-driven claims and quote processing, growing focus on regulatory compliance automation, enhanced integration of customer relationship tools.

The increasing frequency of cyberattacks is expected to drive the growth of the insurance agency software market. Cyberattacks involve malicious attempts to disrupt, damage, or gain unauthorized access to computer systems, networks, or data, often for financial, espionage, or destructive purposes. The rise in these attacks is fueled by growing digitalization, increased reliance on cloud services, the expansion of IoT devices, sophisticated hacking techniques, financial incentives for cybercriminals, and insufficient cybersecurity measures across organizations. Insurance agency software plays a crucial role in strengthening cybersecurity by incorporating advanced risk assessment, fraud detection, and compliance tools. These features help agencies safeguard sensitive customer data and mitigate the growing threat of cyberattacks. For instance, in July 2024, Check Point Software Technologies Ltd., an Israel-based software company, reported a 30% year-over-year increase in global cyberattacks, with organizations experiencing an average of 1,636 attacks per week. Additionally, ransomware incidents involving public extortion rose by 13%, totaling around 1,200 cases. As a result, the rising threat of cyberattacks is driving demand for insurance agency software solutions.

Companies in the insurance agency software market are focusing on innovative applications such as embedded commercial insurance quoting tools to streamline the quoting process, enhance real-time premium generation, and improve digital customer engagement. An embedded commercial insurance quoting application is a digital tool integrated into an existing platform that allows businesses to obtain instant insurance quotes for their commercial needs. In October 2023, Applied Systems, Inc., a US-based provider of insurance software solutions, introduced Tarmika Insured, an embedded commercial insurance quoting application. This solution enables real-time premium generation by integrating a simplified application question set and direct carrier market connectivity, allowing agencies to provide instant, bindable quotes at the point of sale. By facilitating both consumer-led and agent-led workflows, the application enhances customer experience, improves agent productivity, and accelerates digital transformation in commercial insurance.

In February 2023, AgencyBloc LLC, a US-based software company serving insurance agencies, acquired Radius Agency Solutions for an undisclosed amount. Through this acquisition, AgencyBloc seeks to broaden its product portfolio and drive growth by integrating Radius’s specialized agency management tools and technology into its existing platform, aiming to provide insurance agencies with improved operational efficiency. Radius Agency Solutions is a US-based technology company focused on delivering software solutions for insurance agency management and operations.

Major companies operating in the insurance agency software market are Guidewire Software, Sapiens International, Vertafore Inc., Applied Systems Inc., Duck Creek Technologies, Zywave Inc., Dyad Tech, Bold Penguin, EZLynx, Insly LTD, HawkSoft, Insurance Technologies Corporation (ITC), Іnѕurаnсе Ѕуѕtеmѕ Іnс., InsuredHQ Limited, United Systems and Software Inc., AgencyBloc LLC, Axxis Systems, IVANS Insurance Solutions, NowCerts, Buckhill Ltd., Jenesis Software.

North America was the largest region in the insurance agency software market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the insurance agency software market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the insurance agency software market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The insurance agency software market consists of revenue entities earned by providing services such as risk assessment and underwriting support, customer relationship management (CRM) integration, multi-channel communication facilitation, fraud detection and prevention, premium billing and invoicing solutions, digital document storage and retrieval, real-time reporting, and business intelligence. The market value includes the value of related goods sold by the service provider or included within the service offering. The insurance agency software market also includes sales of products such as end-to-end agency management platforms, cloud-based policy administration systems, AI-powered underwriting tools, embedded insurance quoting solutions, mobile-responsive insurance applications, digital insurance marketplaces, telematics-based insurance solutions, and cybersecurity-enhanced insurance software. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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