Automotive Insurance - Global Strategic Business Report

The global market for Automotive Insurance was estimated at US$688.8 Billion in 2024 and is projected to reach US$796.8 Billion by 2030, growing at a CAGR of 2.5% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions. The report includes the most recent global tariff developments and how they impact the Automotive Insurance market.

Global Automotive Insurance Market - Key Trends & Drivers Summarized

How Is Automotive Insurance Adapting to the Next Generation of Mobility?

The automotive insurance landscape is undergoing a sweeping transformation, spurred by technological advancements, evolving mobility patterns, and shifting consumer expectations. Traditional insurance models, which once revolved around static risk assessments and annual premiums, are being challenged by dynamic usage-based paradigms enabled by telematics, connected vehicles, and real-time data analytics. Today's vehicles, especially newer models equipped with advanced driver-assistance systems (ADAS) and integrated connectivity, generate massive volumes of data on driving behavior, location, and vehicle health. Insurers are leveraging this data to offer personalized coverage plans, real-time policy adjustments, and more accurate risk pricing. Moreover, with the rise of shared mobility, subscription models, and multi-modal transport, the very definition of vehicle ownership is evolving, prompting insurers to design flexible, short-term, or on-demand policies. As digital ecosystems expand and mobility becomes increasingly fluid, automotive insurance is rapidly transitioning from a passive safety net into a proactive.

What Impact Do Connected Vehicles and Telematics Have on Risk Assessment?

The integration of telematics and vehicle connectivity has revolutionized how insurers understand and quantify risk. Instead of relying solely on demographic profiles, claim history, or geographic location, insurers can now assess risk based on real-world driving behavior such as speed patterns, braking intensity, cornering habits, and even phone usage while driving. This granular data enables insurers to create more equitable pricing models that reward safe driving habits with lower premiums. Beyond underwriting, telematics systems also facilitate real-time accident detection, automated emergency assistance, and accurate incident reconstruction, expediting claims processing and fraud detection. Fleet managers benefit particularly from this shift, using aggregated insights to optimize driver training and reduce operational risk. Additionally, as vehicles become smarter, insurers are beginning to partner with automakers to access embedded data directly from the vehicle's systems, creating seamless insurance experiences from purchase to renewal. This real-time.

How Are Regulatory and Ethical Considerations Shaping the Insurance Experience?

As the automotive insurance industry becomes increasingly.

What Drives the Growth in the Automotive Insurance Market?

The growth in the automotive insurance market is driven by a convergence of technology evolution, consumer mobility trends, and changing vehicle ownership models. Firstly, the increasing prevalence of connected cars and telematics devices is enabling more precise, behavior-based underwriting, which improves risk management and customer segmentation. Secondly, the rise of electric vehicles (EVs), autonomous features, and smart mobility solutions is reshaping risk profiles, prompting insurers to develop specialized coverage for new technology-induced exposures. Thirdly, consumer demand for convenience and customization is driving the development of digital platforms, mobile-first interfaces, and usage-based or pay-as-you-drive insurance products. Furthermore, the growth of shared mobility services, including car rentals, ride-hailing, and vehicle subscriptions, is expanding the need for flexible, short-term insurance policies that adapt to changing usage patterns. Lastly, insurers are increasingly using AI, machine learning, and automation to streamline claims processing, improve fraud detection, and enhance customer engagement contributing to market expansion and operational efficiency across the value chain.

Key Insights:

• Market Growth: Understand the significant growth trajectory of the Third-Party Liability Coverage segment, which is expected to reach US$496.7 Billion by 2030 with a CAGR of a 2.8%. The Comprehensive Motor Insurance Coverage segment is also set to grow at 1.7% CAGR over the analysis period.
• Regional Analysis: Gain insights into the U.S. market, valued at $187.7 Billion in 2024, and China, forecasted to grow at an impressive 4.8% CAGR to reach $153.2 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.

Why You Should Buy This Report:

• Detailed Market Analysis: Access a thorough analysis of the Global Automotive Insurance Market, covering all major geographic regions and market segments.
• Competitive Insights: Get an overview of the competitive landscape, including the market presence of major players across different geographies.
• Future Trends and Drivers: Understand the key trends and drivers shaping the future of the Global Automotive Insurance Market.
• Actionable Insights: Benefit from actionable insights that can help you identify new revenue opportunities and make strategic business decisions.

Key Questions Answered:

• How is the Global Automotive Insurance Market expected to evolve by 2030?
• What are the main drivers and restraints affecting the market?
• Which market segments will grow the most over the forecast period?
• How will market shares for different regions and segments change by 2030?
• Who are the leading players in the market, and what are their prospects?

Report Features:

• Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
• In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
• Company Profiles: Coverage of players such as Allstate Corporation, AXA S.A., Berkshire Hathaway Inc., Chubb Limited, and more.
• Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.

Some of the 34 companies featured in this Automotive Insurance market report include:

• Allstate Corporation
• AXA S.A.
• Berkshire Hathaway Inc.
• Chubb Limited
• Erie Insurance Group
• Farmers Insurance Group
• Geico (Berkshire Hathaway)
• Generali Group
• Hartford Financial Services
• Liberty Mutual Insurance
• Mapfre S.A.
• MetLife, Inc.
• Munich Re Group
• Progressive Corporation
• Prudential Financial, Inc.
• QBE Insurance Group
• State Farm Insurance
• The Travelers Companies, Inc.
• Tokio Marine Holdings, Inc.
• Zurich Insurance Group

This edition integrates the latest global trade and economic shifts as of June 2025 into comprehensive market analysis. Key updates include:

• Tariff and Trade Impact: Insights into global tariff negotiations across 180+ countries, with analysis of supply chain turbulence, sourcing disruptions, and geographic realignment. Special focus on 2025 as a pivotal year for trade tensions, including updated perspectives on the Trump-era tariffs.
• Adjusted Forecasts and Analytics: Revised global and regional market forecasts through 2030, incorporating tariff effects, economic uncertainty, and structural changes in globalization. Includes segmentation by product, technology, type, material, distribution channel, application, and end-use, with historical analysis since 2015.
• Strategic Market Dynamics: Evaluation of revised market prospects, regional outlooks, and key economic indicators such as population and urbanization trends.
• Innovation & Technology Trends: Latest developments in product and process innovation, emerging technologies, and key industry drivers shaping the competitive landscape.
• Competitive Intelligence: Updated global market share estimates for 2025, competitive positioning of major players (Strong/Active/Niche/Trivial), and refined focus on leading global brands and core players.
• Expert Insight & Commentary: Strategic analysis from economists, trade experts, and domain specialists to contextualize market shifts and identify emerging opportunities.
• Complimentary Update: Buyers receive a free July 2025 update with finalized tariff impacts, new trade agreement effects, revised projections, and expanded country-level coverage.