Liquid Damage Insurance Market Report 2026

The liquid damage insurance market size has grown rapidly in recent years. It will grow from $12.37 billion in 2025 to $13.85 billion in 2026 at a compound annual growth rate (CAGR) of 11.9%. The growth in the historic period can be attributed to growth in consumer electronics ownership, increasing incidents of water-related property damage, expansion of urban housing infrastructure, rising awareness of specialized insurance products, adoption of bundled insurance policies.

The liquid damage insurance market size is expected to see rapid growth in the next few years. It will grow to $21.49 billion in 2030 at a compound annual growth rate (CAGR) of 11.6%. The growth in the forecast period can be attributed to increasing demand for instant claim settlements, rising integration of smart home monitoring systems, growing preference for online insurance platforms, expansion of personalized insurance offerings, increasing use of automation in underwriting. Major trends in the forecast period include increasing adoption of digital claims processing, rising demand for short-term and flexible coverage plans, growing integration of iot-based damage detection, expansion of customized policy offerings, enhanced focus on rapid settlement models.

The increasing reliance on electronic devices is expected to propel the growth of the liquid damage insurance market going forward. Electronic devices refer to any devices or machines that use electricity to perform specific tasks or functions. The increasing reliance on electronic devices is due to their ability to enhance productivity, and facilitate instant communication making them essential in both personal and professional life. Liquid damage insurance helps to protect electronic devices by covering the cost of repairs or replacement when devices are damaged due to exposure to liquids. For instance, according to the Mobility Report of Ericsson, a Sweden-based telecommunications company, in 2024, global smartphone subscriptions reached 7.16 billion units, up from 6.93 billion units in 2023. Therefore, the increasing reliance on electronic devices is driving the growth of the liquid damage insurance market.

Major companies operating in the liquid damage insurance market are focusing on implementing innovative programmes such as all-in-one protection programme to provide comprehensive coverage for liquid damage, device repairs, and replacements under a single plan. An all-in-one protection program is a comprehensive security or risk management solution that integrates multiple protective measures into a single package. These programs are commonly used in cybersecurity, insurance, financial services, and physical security to provide holistic protection against various threats. For instance, in March 2023, Aeon Co. (M), a Malaysia-based retail brand, partnered with Bolttech Management Limited, a Singapore-based insurance company, launched Aeon Safeguard. It provides insurance coverage and support services for mobile devices and home appliances purchased at AEON stores. The insurance, underwritten by tune insurance malaysia berhad, covers accidental and liquid damage, as well as an extended warranty for insured devices.

In June 2024, Zurich Insurance Company Ltd, a Switzerland-based global multi-line insurer, acquired Kotak Mahindra General Insurance Company Ltd for approximately $670 million (₹5,560 crore). Through this acquisition, Zurich sought to build a strong foothold and accelerate its expansion in India’s rapidly growing general insurance market by leveraging its global insurance expertise alongside Kotak’s established local presence and operational capabilities. Kotak Mahindra General Insurance Company Ltd is an India-based general insurance provider offering a wide portfolio of non-life insurance products, including motor, health, home, and other general insurance solutions across diverse customer segments.

Major companies operating in the liquid damage insurance market are Assurant Inc., Asurion LLC, The Chubb Corporation, American International Group Inc., Progressive Casualty Insurance Company, AmTrust Financial, Worth Ave Group, HL Assurance, OneAssist Consumer Solutions Pvt Ltd, Bolttech Management Limited, Securranty, Brightstar Corp., Zurich Insurance Group, AXA Insurance, Liberty Mutual Insurance, Travelers Insurance, Nationwide Mutual Insurance, State Farm Insurance, Hiscox Ltd., Tokio Marine Holdings, Sompo Holdings.

North America was the largest region in the liquid damage insurance market in 2025. The regions covered in the liquid damage insurance market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the liquid damage insurance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The liquid damage insurance market includes revenues earned by entities by providing services such as insurance premiums, claims processing, device protection plans, repair services, replacement services, and extended warranty sales. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

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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