Market Size of Asia-Pacific Car Insurance Industry
| Study Period | 2020-2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 181.18 Billion |
| Market Size (2029) | USD 236.23 Billion |
| CAGR (2024 - 2029) | 5.45 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Asia-Pacific Car Insurance Market Analysis
The Asia-Pacific Car Insurance Market size in terms of gross written premiums value is expected to grow from USD 181.18 billion in 2024 to USD 236.23 billion by 2029, at a CAGR of 5.45% during the forecast period (2024-2029).
Revenue of the car insurance market in the Asia-Pacific has observed a continuous increase over the years, rising the car insurance policies sold by insurance providers with a rise in insurance premiums. China and India are among the countries in the region with the largest and increasing number of traffic accident casualties, making car insurance a necessary component. Taiwan, South Korea, New Zealand, and Australia are among the leading Asia-Pacific countries in non-life insurance penetration rate of above 3%, with countries of India and China still existing in the range of (1-2)%, making car insurance product adoption varying among the countries in the region.
With a declining trend in sales of cars before the pandemic, post-COVID-19 sales of cars in the Asia-Pacific observed an increase, and having car insurance policies compulsory in most of the Asia-Pacific countries leads to an increase in sales of car insurance policies in the region as well. Among the car sales volume, China, India, and Japan exist as countries leading the region, driving the insurance companies to invest in advertisements and product innovation to occupy a large share of car insurance buyers.
With the rise in digital and technological innovation, customer acquisition costs, as well as risk related to asymmetric information in the business, had observed a significant decline, resulting in insurance providers investing in other innovative segments. Telematics or usage-based insurance products have been launched, which use technology to track driver behavior for the calculation of the risk in insuring a particular driver and calculating insurance premiums based on that risk. These innovations are further expanding the car insurance market in the Asia-Pacific with an increased market value.
