Usage-Based Insurance Market Size to Surpass USD 307.6 Billion by 2032 | Exhibiting CAGR of 21.3%

IMARC Group's report titled "𝗨𝘀𝗮𝗴𝗲-𝗕𝗮𝘀𝗲𝗱 𝗜𝗻𝘀𝘂𝗿𝗮𝗻𝗰𝗲 𝗠𝗮𝗿𝗸𝗲𝘁 𝗥𝗲𝗽𝗼𝗿𝘁 𝗯𝘆 𝗧𝘆𝗽𝗲 (𝗣𝗮𝘆-𝗔𝘀-𝗬𝗼𝘂-𝗗𝗿𝗶𝘃𝗲 (𝗣𝗔𝗬𝗗), 𝗣𝗮𝘆-𝗛𝗼𝘄-𝗬𝗼𝘂-𝗗𝗿𝗶𝘃𝗲 (𝗣𝗛𝗬𝗗), 𝗠𝗮𝗻𝗮𝗴𝗲-𝗛𝗼𝘄-𝗬𝗼𝘂-𝗗𝗿𝗶𝘃𝗲 (𝗠𝗛𝗬𝗗), 𝗮𝗻𝗱 𝗢𝘁𝗵𝗲𝗿𝘀), 𝗧𝗲𝗰𝗵𝗻𝗼𝗹𝗼𝗴𝘆 (𝗢𝗕𝗗 𝗜𝗜, 𝗕𝗹𝗮𝗰𝗸 𝗕𝗼𝘅, 𝗦𝗺𝗮𝗿𝘁𝗽𝗵𝗼𝗻𝗲𝘀, 𝗮𝗻𝗱 𝗢𝘁𝗵𝗲𝗿𝘀), 𝗩𝗲𝗵𝗶𝗰𝗹𝗲 𝗧𝘆𝗽𝗲 (𝗟𝗶𝗴𝗵𝘁-𝗗𝘂𝘁𝘆 𝗩𝗲𝗵𝗶𝗰𝗹𝗲 (𝗟𝗗𝗩), 𝗛𝗲𝗮𝘃𝘆-𝗗𝘂𝘁𝘆 𝗩𝗲𝗵𝗶𝗰𝗹𝗲 (𝗛𝗗𝗩)), 𝗩𝗲𝗵𝗶𝗰𝗹𝗲 𝗔𝗴𝗲 (𝗡𝗲𝘄 𝗩𝗲𝗵𝗶𝗰𝗹𝗲𝘀, 𝗨𝘀𝗲𝗱 𝗩𝗲𝗵𝗶𝗰𝗹𝗲𝘀), 𝗮𝗻𝗱 𝗥𝗲𝗴𝗶𝗼𝗻 𝟮𝟬𝟮𝟰-𝟮𝟬𝟯𝟮". The global usage-based insurance market size reached US$ 51.4 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 307.6 Billion by 2032, exhibiting a growth rate (CAGR) of 21.3% during 2024-2032.

𝗙𝗼𝗿 𝗮𝗻 𝗶𝗻-𝗱𝗲𝗽𝘁𝗵 𝗮𝗻𝗮𝗹𝘆𝘀𝗶𝘀, 𝘆𝗼𝘂 𝗰𝗮𝗻 𝗿𝗲𝗳𝗲𝗿 𝘀𝗮𝗺𝗽𝗹𝗲 𝗰𝗼𝗽𝘆 𝗼𝗳 𝘁𝗵𝗲 𝗿𝗲𝗽𝗼𝗿𝘁: https://www.imarcgroup.com/usage-based-insurance-market/requestsample

𝗙𝗮𝗰𝘁𝗼𝗿𝘀 𝗔𝗳𝗳𝗲𝗰𝘁𝗶𝗻𝗴 𝘁𝗵𝗲 𝗚𝗿𝗼𝘄𝘁𝗵 𝗼𝗳 𝘁𝗵𝗲 𝗨𝘀𝗮𝗴𝗲-𝗕𝗮𝘀𝗲𝗱 𝗜𝗻𝘀𝘂𝗿𝗮𝗻𝗰𝗲 𝗜𝗻𝗱𝘂𝘀𝘁𝗿𝘆:

● 𝗔𝗱𝘃𝗮𝗻𝗰𝗲𝗺𝗲𝗻𝘁𝘀 𝗶𝗻 𝗧𝗲𝗹𝗲𝗺𝗮𝘁𝗶𝗰𝘀 𝗧𝗲𝗰𝗵𝗻𝗼𝗹𝗼𝗴𝘆:

Telematics involves the collection and transmission of real-time data from vehicles to insurers, enabling a deeper understanding of driver behavior. In addition, a global positioning system (GPS), accelerometers, and other sensors in vehicles provide vast information, such as speed, acceleration, braking, and the time of day of a vehicle. This data allows insurers to personalize insurance premiums based on individual driving habits. Apart from this, technological advancements benefit in improving the accuracy of risk assessment, reducing the chances of fraudulent claims, and enabling insurers to better tailor their offerings.  

● 𝗥𝗶𝘀𝗶𝗻𝗴 𝗡𝗲𝗲𝗱 𝗳𝗼𝗿 𝗖𝗼𝘀𝘁-𝗘𝗳𝗳𝗲𝗰𝘁𝗶𝘃𝗲 𝗦𝗼𝗹𝘂𝘁𝗶𝗼𝗻𝘀:

The increasing adoption of usage-based insurance (UBI), as it is cost-effective for both insurers and policyholders, is propelling the growth of the market. In line with this, insurers can benefit from UBI programs by gaining access to real-time data on driver behavior. This data allows them to accurately assess risk, identify safe drivers, and reduce fraudulent claims. Furthermore, insurers can offer lower premiums to safe drivers by having a clearer understanding of individual risk profiles. Besides this, safe driving behaviors, such as obeying speed limits, avoiding hard braking, and driving during less congested times, can lead to savings on insurance premiums.

● 𝗜𝗻𝗰𝗿𝗲𝗮𝘀𝗶𝗻𝗴 𝗔𝗱𝗼𝗽𝘁𝗶𝗼𝗻 𝗼𝗳 𝗖𝗼𝗻𝗻𝗲𝗰𝘁𝗲𝗱 𝗩𝗲𝗵𝗶𝗰𝗹𝗲𝘀:

The rising adoption of connected vehicles that are equipped with telematics systems is bolstering the growth of the market. In addition, telematic systems can collect and transmit a wide range of data related to driving behavior. Apart from this, connected vehicles simplify the enrollment process for UBI, as policyholders do not need to install additional hardware or devices in their cars. This convenience encourages more drivers to participate in UBI programs. Furthermore, key insurers are refining their pricing models and offering even more personalized premiums.

𝗟𝗲𝗮𝗱𝗶𝗻𝗴 𝗖𝗼𝗺𝗽𝗮𝗻𝗶𝗲𝘀 𝗢𝗽𝗲𝗿𝗮𝘁𝗶𝗻𝗴 𝗶𝗻 𝘁𝗵𝗲 𝗚𝗹𝗼𝗯𝗮𝗹 𝗨𝘀𝗮𝗴𝗲-𝗕𝗮𝘀𝗲𝗱 𝗜𝗻𝘀𝘂𝗿𝗮𝗻𝗰𝗲 𝗜𝗻𝗱𝘂𝘀𝘁𝗿𝘆:

● Aioi Nissay Dowa Insurance UK Ltd
● Allianz SE
● Allstate Insurance Company
● American International Group Inc.
● Assicurazioni Generali S.p.A.
● AXA
● Liberty Mutual Insurance Company
● Mapfre S.A.
● Progressive Casualty Insurance Company
● State Farm Automobile Mutual Insurance Company
● TomTom International BV.
● UnipolSai Assicurazioni S.p.A. (Unipol Gruppo S.p.A)

𝗘𝘅𝗽𝗹𝗼𝗿𝗲 𝘁𝗵𝗲 𝗳𝘂𝗹𝗹 𝗿𝗲𝗽𝗼𝗿𝘁 𝘄𝗶𝘁𝗵 𝘁𝗮𝗯𝗹𝗲 𝗼𝗳 𝗰𝗼𝗻𝘁𝗲𝗻𝘁𝘀: https://www.imarcgroup.com/usage-based-insurance-market

𝗨𝘀𝗮𝗴𝗲-𝗕𝗮𝘀𝗲𝗱 𝗜𝗻𝘀𝘂𝗿𝗮𝗻𝗰𝗲 𝗠𝗮𝗿𝗸𝗲𝘁 𝗥𝗲𝗽𝗼𝗿𝘁 𝗦𝗲𝗴𝗺𝗲𝗻𝘁𝗮𝘁𝗶𝗼𝗻:

𝗕𝘆 𝗧𝘆𝗽𝗲:

● Pay-As-You-Drive (PAYD)
● Pay-How-You-Drive (PHYD)
● Manage-How-You-Drive (MHYD)
● Others

Pay-as-you-drive (PAYD) represents the largest segment as it allows policyholders to pay premiums based on the distance driven.    

𝗕𝘆 𝗧𝗲𝗰𝗵𝗻𝗼𝗹𝗼𝗴𝘆:

● OBD II
● Black Box
● Smartphones
● Others

Black box holds the biggest market share, which can be attributed to the rising demand for enhanced transparency.  

𝗕𝘆 𝗩𝗲𝗵𝗶𝗰𝗹𝗲 𝗧𝘆𝗽𝗲:

● Light-duty Vehicle (LDV)
● Heavy-duty Vehicle (HDV)

Light-duty vehicle (LDV) accounts for the largest market share on account of the escalating demand for cost-effective and reliable insurance solutions.  

𝗕𝘆 𝗩𝗲𝗵𝗶𝗰𝗹𝗲 𝗔𝗴𝗲:

● New Vehicles 
● Used Vehicles

New vehicles exhibit a clear dominance in the market due to increasing preferences for personalized insurance solutions.

𝗥𝗲𝗴𝗶𝗼𝗻𝗮𝗹 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀:

● North America: (United States, Canada)
● Asia Pacific: (China, Japan, India, South Korea, Australia, Indonesia, Others)
● Europe: (Germany, France, United Kingdom, Italy, Spain, Russia, Others)
● Latin America: (Brazil, Mexico, Others)
● Middle East and Africa

North America enjoys the leading position in the usage-based insurance market, which can be accredited to the rising adoption of advanced technologies for accurate data collection and seamless user experiences.      

𝗚𝗹𝗼𝗯𝗮𝗹 𝗨𝘀𝗮𝗴𝗲-𝗕𝗮𝘀𝗲𝗱 𝗜𝗻𝘀𝘂𝗿𝗮𝗻𝗰𝗲 𝗠𝗮𝗿𝗸𝗲𝘁 𝗧𝗿𝗲𝗻𝗱𝘀:

The increasing utilization of advanced data analytics and artificial intelligence (AI) algorithms is propelling the growth of the market. Moreover, insurers are leveraging these technologies to analyze telematics data more effectively. This allows for enhanced risk assessment, the identification of emerging trends, and the development of more precise pricing models. The rising awareness among individuals about UBI programs is impelling the market growth. Besides this, people are becoming more informed about the cost-saving opportunities associated with UBI and are willing to share their driving data, which is bolstering the market growth.

𝗡𝗼𝘁𝗲: 𝗜𝗳 𝘆𝗼𝘂 𝗻𝗲𝗲𝗱 𝘀𝗽𝗲𝗰𝗶𝗳𝗶𝗰 𝗶𝗻𝗳𝗼𝗿𝗺𝗮𝘁𝗶𝗼𝗻 𝘁𝗵𝗮𝘁 𝗶𝘀 𝗻𝗼𝘁 𝗰𝘂𝗿𝗿𝗲𝗻𝘁𝗹𝘆 𝘄𝗶𝘁𝗵𝗶𝗻 𝘁𝗵𝗲 𝘀𝗰𝗼𝗽𝗲 𝗼𝗳 𝘁𝗵𝗲 𝗿𝗲𝗽𝗼𝗿𝘁, 𝘄𝗲 𝘄𝗶𝗹𝗹 𝗽𝗿𝗼𝘃𝗶𝗱𝗲 𝗶𝘁 𝘁𝗼 𝘆𝗼𝘂 𝗮𝘀 𝗮 𝗽𝗮𝗿𝘁 𝗼𝗳 𝘁𝗵𝗲 𝗰𝘂𝘀𝘁𝗼𝗺𝗶𝘇𝗮𝘁𝗶𝗼𝗻.

𝗖𝗼𝗻𝘁𝗮𝗰𝘁 𝗨𝘀:

IMARC Group
134 N 4th St. Brooklyn, NY 11249, USA
Email: sales@imarcgroup.com
Tel No:(D) +91 120 433 0800
United States: +1-631-791-1145 | United Kingdom: +44-753-713-2163

𝗔𝗯𝗼𝘂𝘁 𝗨𝘀:

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This release was published on openPR.