India Motor Insurance Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The India Motor Insurance Market is Segmented by Motor Insurance Type (own Damage, Third Party), by Application (Commercial Motor Insurance (light Motor Vehicle, Heavy Motor Vehicle, Other Commercial Motors), Private Motor Insurance), by Distribution Channel (individual Agents, Brokers, Banks, Online, Others), by State (Maharashtra, Tamil Nadu, Karnataka, Uttar Pradesh, Gujarat, Other States). The Report Offers Market Size and Forecasts for the Indian Motor Insurance Market in Revenue Value (USD) for all the Above Segments.

India Motor Insurance Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

India Motor Insurance Market Size

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Indian Motor Insurance Market Outlook
Study Period 2020 - 2030
Base Year For Estimation 2024
Forecast Data Period 2025 - 2030
Market Size (2025) USD 13.19 Billion
Market Size (2030) USD 21.48 Billion
CAGR (2025 - 2030) 10.25 %
Market Concentration Low

Major Players

Indian Motor Insurance Market Key Players

*Disclaimer: Major Players sorted in no particular order

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India Motor Insurance Market Analysis

The India Motor Insurance Market size in terms of gross written premiums value is expected to grow from USD 13.19 billion in 2025 to USD 21.48 billion by 2030, at a CAGR of 10.25% during the forecast period (2025-2030).

A growing population of 1.38 billion and the soaring aspirations of India’s populace present the opportunity for motor insurance companies to tap large volumes of prospective consumers. Driven by a pick-up in health and motor insurance segments, the non-life insurance industry has grown by 16% in the current year compared to 11% in the previous year. India's motor insurance market is experiencing rapid growth, driven by a dynamic automotive sector. The country's economy is steadily expanding, resulting in an increase in disposable income and a growing preference for personal transportation. This has enabled India to become the fourth-largest automotive sales market in the world. Government initiatives such as FAME II, PLI Scheme for Semiconductor Manufacturing, and Advanced Chemistry Cell have further contributed to the growth of the automobile sector, which is, in turn, contributing to the insurance market's growth. As a result, India's motor insurance industry has registered a growth in non-life insurance premiums earned. Additionally, the use of Artificial Intelligence (AI), the Internet of Things (IoT), Machine Learning, and Telematics has risen exponentially, allowing companies to digitally transform their businesses and adapt to the changes in customer behavior.

Additionally, the pandemic expedited digital adoption, and most agents felt customers were more willing to use portals/apps post-pandemic. Further, the pandemic increased the insurance penetration rate and triggered awareness of insurance and demand for protection products.

India Motor Insurance Industry Overview

The Indian Motor Insurance Market is highly competitive with major global players. The market has observed a competitive environment with multiple players holding a significant share. Some players include The New India Assurance Co. Ltd., HDFC ERGO General Insurance Company Limited, Tata AIG General Insurance Company Limited, Bajaj Allianz General Insurance Company Limited, and ICICI Lombard General Insurance Company Limited, among others. However, with technological advancement and product innovation, mid-size to smaller companies are increasing their market presence by securing new contracts and tapping new markets.

India Motor Insurance Market Leaders

  1. The New India Assurance Co. Ltd.

  2. HDFC ERGO General Insurance Company Limited

  3. Tata AIG General Insurance Company Limited

  4. Bajaj Allianz General Insurance Company Limited

  5. ICICI Lombard General Insurance Company Limited

  6. *Disclaimer: Major Players sorted in no particular order
India Motor Insurance Market Concentration
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India Motor Insurance Market News

  • February 2023: New India Assurance (NIA) launched a ‘Pay as You Drive’ (PAYD) policy, which offers a comprehensive motor insurance policy that charges a premium based on vehicle usage. The policy has two components- Third Party cover and own-damage cover.
  • June 2022: Edelweiss General Insurance introduced the country's first telematics-based motor insurance called 'SWITCH.' This on-demand policy generates a real-time driving score and dynamically rates the premium. Moreover, it detects motion and automatically activates insurance when the vehicle is driven, making it convenient and hassle-free for users.

India Motor Insurance Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definitions
  • 1.2 Scope of Study

2. RESEARCH METHODOLOGY

3. EXCEUTIVE SUMMARY

4. MARKET INSIGHTS AND DYNAMICS

  • 4.1 Market Overview
  • 4.2 Market Drivers
    • 4.2.1 Increase in Disposable Income and a Growing Preference for Personal Transportation
  • 4.3 Market Restraints
    • 4.3.1 Heavy Reliance on Independent Agents
  • 4.4 Market Opportunities
    • 4.4.1 Technology Adoption by the Insurance Companies
    • 4.4.2 Government Initiatives can be Used to Expand the Horizons of the Sector
  • 4.5 Insights on Zonal And State-wise Motor Insurance Business in India
  • 4.6 Insights on Regulatory Trends Shaping the Market
  • 4.7 Insight on Impact of Technology and Innovation in Motor Insurance Market
  • 4.8 Porter's Five Forces Analysis
    • 4.8.1 Bargaining Power of Suppliers
    • 4.8.2 Bargaining Power of Buyer
    • 4.8.3 Threat of New Entrant
    • 4.8.4 Threat of Substitute Product
    • 4.8.5 Intensity of Competitive Rivalry
  • 4.9 Insights on Performance of Motor Insurance in India (Claims Incurred Ratio, Commission Expense, Retention Ratio etc.)
  • 4.10 Impact of COVID-19 on Market

5. MARKET SEGMENTATION

  • 5.1 By Motor Insurance Type
    • 5.1.1 Own Damage
    • 5.1.2 Third Party
  • 5.2 By Application
    • 5.2.1 Commercial Motor Insurance
    • 5.2.1.1 Light Weight Four Wheelers
    • 5.2.1.2 Heavy Weight Four Wheelers
    • 5.2.1.3 Other Commercial Motors
    • 5.2.2 Private Motor Insurance
  • 5.3 By Distribution Channel
    • 5.3.1 Individual Agents
    • 5.3.2 Brokers
    • 5.3.3 Banks
    • 5.3.4 Online
    • 5.3.5 Other Distribution Channels
  • 5.4 By State
    • 5.4.1 Maharashtra
    • 5.4.2 Tamil Nadu
    • 5.4.3 Karnataka
    • 5.4.4 Uttar Pradesh
    • 5.4.5 Gujarat
    • 5.4.6 Other States

6. COMPETITIVE LANDSCAPE

  • 6.1 Company Profiles
    • 6.1.1 Lombard General Insurance
    • 6.1.2 Bajaj Allianz General Insurance
    • 6.1.3 Tata AIG General Insurance
    • 6.1.4 HDFC ERGO General Insurance
    • 6.1.5 New India Assurance Co Ltd
    • 6.1.6 India Insurance
    • 6.1.7 The Oriental Insurance Co Ltd
    • 6.1.8 Bharati AXA General Insurance
    • 6.1.9 Reliance General Insurance
    • 6.1.10 IFFCO Tokio General Insurance*
  • *List Not Exhaustive

7. FUTURE MARKETTRENDS

8. DISCLAIMER & ABOUT US

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India Motor Insurance Industry Segmentation

Motor insurance is a form of insurance that provides financial protection for the owner of a vehicle, such as a car, truck, motorcycle, or other road vehicle. It is primarily intended to protect against bodily injury or damage caused by traffic accidents and any liability that may arise from incidents occurring within the vehicle. A complete background analysis of the India Motor Insurance Market, market overview, market size estimation for key segments, emerging trends in the market, market dynamics, and key company profiles are covered in the report. 

The India Motor Insurance Market is segmented by motor insurance type (own damage, third party), by application (commercial motor insurance (light motor vehicle, heavy motor vehicle, other commercial motors), private motor insurance), by distribution channel (individual agents, brokers, banks, online, others), by state (Maharashtra, Tamil Nadu, Karnataka, Uttar Pradesh, Gujarat, other states). 

The report offers market size and forecasts for the Indian motor insurance market in revenue value (USD) for all the above segments.

By Motor Insurance Type Own Damage
Third Party
By Application Commercial Motor Insurance Light Weight Four Wheelers
Heavy Weight Four Wheelers
Other Commercial Motors
Private Motor Insurance
By Distribution Channel Individual Agents
Brokers
Banks
Online
Other Distribution Channels
By State Maharashtra
Tamil Nadu
Karnataka
Uttar Pradesh
Gujarat
Other States
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India Motor Insurance Market Research Faqs

How big is the India Motor Insurance Market?

The India Motor Insurance Market size is expected to reach USD 13.19 billion in 2025 and grow at a CAGR of 10.25% to reach USD 21.48 billion by 2030.

What is the current India Motor Insurance Market size?

In 2025, the India Motor Insurance Market size is expected to reach USD 13.19 billion.

Who are the key players in India Motor Insurance Market?

The New India Assurance Co. Ltd., HDFC ERGO General Insurance Company Limited, Tata AIG General Insurance Company Limited, Bajaj Allianz General Insurance Company Limited and ICICI Lombard General Insurance Company Limited are the major companies operating in the India Motor Insurance Market.

What years does this India Motor Insurance Market cover, and what was the market size in 2024?

In 2024, the India Motor Insurance Market size was estimated at USD 11.84 billion. The report covers the India Motor Insurance Market historical market size for years: 2020, 2021, 2022, 2023 and 2024. The report also forecasts the India Motor Insurance Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

India Motor Insurance Industry Report

Statistics for the 2025 India Motor Insurance market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. India Motor Insurance analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.