Market Size of Insurtech Industry
| Study Period | 2020 - 2029 |
| Market Size (2024) | USD 8.63 Billion |
| Market Size (2029) | USD 32.47 Billion |
| CAGR (2024 - 2029) | 30.34 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Insurtech Market Analysis
The Insurtech Market size is estimated at USD 8.63 billion in 2024, and is expected to reach USD 32.47 billion by 2029, growing at a CAGR of 30.34% during the forecast period (2024-2029).
During the forecast period, the insurtech market is anticipated to experience growth attributed to streamlining the claims procedure, enhancing client communication, and the capacity to integrate automation. Insurtech emerged in the past decade, but its expansion has surged notably in recent years.
Several reasons for this growth include a growing need for digital solutions, increased data analytics and AI use, and a shift in consumer preferences towards smooth, easy-to-use insurance experiences. Insurtech companies are using technology to automate processes like underwriting, claims administration, and customer service to improve operational efficiency and reduce costs for insurers.
The health insurance sector is poised to witness the most substantial growth in the coming years, primarily due to the significantly higher adoption of Insurtech compared to other segments of the insurance industry. In recent years, there has been a steady rise in transaction volumes, fueled by a growing preference for technological innovations such as artificial intelligence, machine learning, and blockchain technology within the insurance sector. Also, many customers prefer to purchase insurance policies online due to better technology support, faster service, better information and advice, unique service, and a smooth process. Therefore, banks and insurance companies invest in the most up-to-date and cutting-edge technologies to improve the customer experience. This will create more opportunities for insurance technology providers and drive the market growth over the next few years.
