Global Insurance Providers Market to Decline in 2020, Recovering at a CAGR of 6% From 2021

Strategic Insights -

The global insurance providers market is projected to decline from $5139 billion in 2019 to $5010.2 billion in 2020 at a compound annual growth rate (CAGR) of -2.6% due to the economic slowdown across countries caused by the COVID-19 outbreak and the measures to contain it. However, the market is expected to recover and grow at a CAGR of 6% from 2021 and reach $5860 billion in 2023.

The report highlights the impact of COVID-19 on the market, including supply chain disruptions, logistical challenges, and other economic implications. The chapter on the pandemic's effect covers markets that have been positively affected by the crisis. The report also emphasizes the growing trend of usage-based insurance (UBI), which allows insurance providers to vary premiums based on consumers' behavior.

Key Takeaways:

  • The global insurance providers market will decline by 2.6% in 2020 due to the COVID-19 pandemic, but is expected to recover and grow at a CAGR of 6% from 2021.
  • The market will reach $5860 billion in 2023, driven by the recovery of the economy and growth in the insurance sector.
  • UBI is gaining traction among auto insurers, with a focus on pay-as-you-drive (PAYD) and pay-how-you-drive (PHYD) services.
  • The popularity of UBI is driven by the increased use of smartphones with features like GPS, accelerometers, and g-force tracking.
  • The global insurance providers market will grow at a CAGR of 6% from 2021 to 2023, driven by the recovery of the economy and growth in the insurance sector.
  • The report highlights the impact of COVID-19 on the global insurance providers market, including supply chain disruptions, logistical challenges, and economic implications.
  • The report also emphasizes the growing trend of UBI and its impact on the global insurance providers market.

Statistics:

  • Global insurance providers market size: $5139 billion in 2019
  • Decline in 2020: -2.6% CAGR
  • Recovery and growth from 2021: 6% CAGR
  • Market size in 2023: $5860 billion
  • Regional break-up of the global insurance providers market:

+ North America: $1807 billion in 2019

+ Europe: $1321 billion in 2019

+ Asia-Pacific: $1957 billion in 2019

+ South America: $122 billion in 2019

+ Middle East and Africa: $291 billion in 2019

  • Growth drivers:

+ Recovery of the economy

+ Growth in the insurance sector

+ Increasing adoption of UBI

Sources:

  • The Business Research Company: Insurance Providers Global Market Report 2020
  • M2 PressWIRE: August 25, 2020
  • The Business Research Company: Insurance Providers Global Market Report 2020 - Executive Summary
  • The Business Research Company: Insurance Providers Global Market Report 2020 - Table 1: Historic Market Growth, Value ($ Billion)
  • The Business Research Company: Insurance Providers Global Market Report 2020 - Table 2: Forecast Market Growth, Value ($ Billion)