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Software industry

Digital Insurance Platform Market to Register CAGR of 12.5% from 2021-2026

Strategic Insights

— 2 min read

The digital insurance platform market is expected to witness significant growth over the next five years, driven by the increasing adoption of cloud technology and the need for insurers to enhance their claims experience through better service and communication. Asia-Pacific is anticipated to be the fastest-growing region, with the region expected to account for 42% of global insurance premiums by 2029, with China forecasted to be the largest insurance market by the mid-2030s.

Key Takeaways:

  • The digital insurance platform market is expected to register a CAGR of over 12.5% during the forecast period (2021-2026).
  • Cloud computing has been experiencing tremendous growth recently, and insurers consider building a strategy around cloud technology to keep competitors at bay.
  • Cloud-based insurance solutions can offer better social listening and higher conversion rates from opportunity to sale through targeted campaign management and improved opportunity and lead engagement models.
  • Asia-Pacific region is expected to witness the highest CAGR during the forecast period, with the region anticipated to be a money-spinning market for digital insurance platform providers.
  • The high population of the region and increasing investments in businesses are anticipated to drive multinational companies to emphasize exploring the APAC market by partnering with local companies, channel partners, and technology partners.
  • By 2029, Asia-Pacific is estimated to account for 42% of global insurance premiums, with China's share forecasted to be 20%.
  • Consumers in Asia-Pacific's developing markets are significantly underinsured, with one measure of insurance penetration, gross written premiums as a percentage of per-capita GDP, signaling a significant amount of unmet demand in Asia Pacific's developing markets.
  • The insurance distribution landscape is gradually evolving, with digital channels becoming more prominent in developing countries in the Asia Pacific region.
  • Diigital insurance ecosystems are interconnected players forming sets of products and services that allow users to fulfill a variety of needs in one integrated experience.
  • The growing adoption of the cloud and mobile technologies by large diversified populations and the rapid rise in the number of InsureTech companies have led to the timely implementation of digital insurance platforms in the APAC countries.

Statistics:

  • The digital insurance platform market is expected to register a CAGR of over 12.5% during the forecast period (2021-2026).
  • Asia-Pacific region is anticipated to account for 42% of global insurance premiums by 2029, with China forecasted to be the largest insurance market by the mid-2030s.
  • One measure of insurance penetration, gross written premiums as a percentage of per-capita GDP, signaling a significant amount of unmet demand in Asia Pacific's developing markets.
  • The high population of the region and increasing investments in businesses are anticipated to drive multinational companies to emphasize exploring the APAC market by partnering with local companies, channel partners, and technology partners.

Sources:

  • "Digital Insurance Platform Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)" report
  • ResearchAndMarkets.com
  • Swiss Re
  • Bain & Company

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