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Automotive Insurance Market: Introduction

  • Financial institutions and insurance companies provide risk mitigation to individuals, businesses, and institutional clients through contracts. Automotive insurance is one such contract that enables vehicle owners to manage risks associated with vehicle accidents or maintenance.
  • Automotive insurance, or motor insurance, is an insurance policy for vehicles, which provides financial protection against collision damage and damage arising due to natural disasters or theft

Key Drivers of Automotive Insurance Market

  • Automotive safety has become a major concern amidst a consistent rise in number of accidents across the globe due to high number of on-road vehicles, unsafe driving patterns, underdeveloped infrastructure, and numerous others such factors. In February 2020, according to the World Health Organization, 1.35 million people die every year across the globe, costing a majority of countries around 3% of their total GDP. This economic burden, caused by the growing number of accidents, severely impacts low income individuals and countries. Consequently, vehicle owners are preferring insurance policies to mitigate this economic burden of road accidents, which cover health-related as well as vehicle repair costs post-accident. Thus, a rise in awareness about road-traffic accidents and their economic costs are driving the global automotive insurance market.
  • Emergence of latest technologies, such as Internet of Things (IoT) and artificial intelligence, have transformed conventional auto insurance policies to usage-based policies. Sensors powered by these advanced technologies are fitted on vehicles to monitor the driving behavior and pattern of the driver. This data is sent to the insurance company and based on this data, the premium of insurance is modified. These new telematics-based insurance policies are gaining high popularity and hence, fueling the automotive insurance market across the globe.

Challenges in Automotive Insurance Market

  • Rise in adoption of shared mobility reduces the number of vehicle owners and usage of vehicles. This reduced number of vehicle owners is hampering the automotive insurance market.

Impact of COVID-19 pandemic on Automotive Insurance Market

  • The automotive industry and its supply chains were negatively impacted amidst the recent outbreak of COVID-19 pandemic. Government regulations enforced automakers to temporarily shut down their facilities in order to arrest the spread of coronavirus infection, thereby hampering the sale of vehicles which in-turn reduced the demand in automotive insurance market. However, the automotive industry is anticipated to regain its momentum in the following years, as companies are restarting their operations and governments have lifted restrictions and announced various relief packages. This, in turn, is projected to fuel the automotive insurance market.

Automotive Insurance Market in Asia Pacific to Expand at Notable Growth Rate

  • The market in Asia Pacific is anticipated to account for a significant share of the global automotive insurance market due to rising sales of vehicles amidst rising disposable income of people. Furthermore, regulatory agencies in Asia Pacific have also implemented stringent laws regarding the need for vehicle insurance, which in turn further boosts the automotive insurance market in the region.

Key Players Operating in Automotive Insurance Market

The global automotive insurance market is highly concentrated due to the presence of top manufacturers. A few of the key players operating in the global automotive insurance market are:

  • ACKO General Insurance Limited
  • Allianz
  • Assicurazioni Generali S.p.A.
  • Aviva
  • AXA
  • Barclays Insurance Services Company Limited
  • Berkshire Hathaway, Inc.
  • Clements Worldwide
  • GAINSCO, Inc.
  • Ping An Insurance (Group) Company of China, Ltd.
  • Progressive Casualty Insurance Company
  • Prudential

Global Automotive Insurance Market: Research Scope

Global Automotive Insurance Market, by Insurance type

  • Third Party Liability
  • Comprehensive

Global Automotive Insurance Market, by Product type

  • Telematics Insurance
  • Conventional

Global Automotive Insurance Market, by Vehicle

  • Two-wheeler
  • Passenger Vehicle
    • Hatchback
    • Sedan
    • SUV
  • Light Commercial Vehicle
  • Buses & Coaches
  • Trucks

Global Automotive Insurance Market, by Region

  • North America
    • U.S.
    • Canada
  • Europe
    • Germany
    • France
    • U.K.
    • Italy
    • Spain
    • Nordic Region
    • Rest of Europe
  • Asia Pacific
    • China
    • Japan
    • India
    • ASEAN
    • Rest of Asia Pacific
  • Latin America
    • Brazil
    • Mexico
    • Rest of Latin America
  • Middle East & Africa
    • GCC
    • South Africa
    • Rest of Middle East & Africa

This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.

Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:

  • Customer Experience Maps
  • Insights and Tools based on data-driven research
  • Actionable Results to meet all the business priorities
  • Strategic Frameworks to boost the growth journey

The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.

The following regional segments are covered comprehensively:

  • North America
  • Asia Pacific
  • Europe
  • Latin America
  • The Middle East and Africa

The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.

Below is a snapshot of these quadrants.

1. Customer Experience Map

The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.

2. Insights and Tools

The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.

3. Actionable Results

The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.

4. Strategic Frameworks

The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.

The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:

1. What can be the best investment choices for venturing into new product and service lines?

2. What value propositions should businesses aim at while making new research and development funding?

3. Which regulations will be most helpful for stakeholders to boost their supply chain network?

4. Which regions might see the demand maturing in certain segments in near future?

5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?

6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?

7. Which government regulations might challenge the status of key regional markets?

8. How will the emerging political and economic scenario affect opportunities in key growth areas?

9. What are some of the value-grab opportunities in various segments?

10. What will be the barrier to entry for new players in the market?

With a robust experience in creating exceptional market reports, Transparency Market Research has emerged as one of the trusted market research companies among a large number of stakeholders and CXOs. Every report at Transparency Market Research goes through rigorous research activity in every aspect. The researchers at TMR keep a close watch on the market and extract beneficial growth-boosting points. These points help the stakeholders to strategize their business plans accordingly.

TMR researchers conduct exhaustive qualitative and quantitative research. This research involves taking inputs from the experts in the market, focused attention on recent developments, and others. This method of research makes TMR stand out from other market research firms.

Here's how Transparency Market Research helps the stakeholders and CXOs through the reports:

Inculcation and Evaluation of Strategic Collaborations: The TMR researchers analyze recent strategic activities like mergers, acquisitions, partnerships, collaborations, and joint ventures. All the information is compiled and included in the report.

Perfect Market Size Estimations: The report analyzes the demographics, growth potential, and capability of the market through the forecast period. This factor leads to the estimation of the market size and also provides an outline about how the market will retrieve growth during the assessment period.

Investment Research: The report focuses on the ongoing and upcoming investment opportunities across a particular market. These developments make the stakeholders aware of the current investment scenario across the market.

Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.

Custom Market Research Services

TMR offers custom market research services that help clients to get information on their business scenario required where syndicated solutions are not enough.


Automotive Insurance Market

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