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

The Car Insurance Market Report is Segmented by Coverage (third-Party Liability Coverage, Collision/comprehensive/other Optional Coverage), Application (personal Vehicles, Commercial Vehicles), Distribution Channel (direct Sales, Individual Agents, Brokers, Banks, Online, Other Distribution Channels), and Region (North America, Europe, Asia-Pacific, South America, Middle East and Africa, Rest of the World). The Report Offers Market Size and Forecasts for the Car Insurance Market in Value (USD) for all the Above Segments.

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

Car Insurance Market Size

Car Insurance Market Summary
Study Period 2020 - 2030
Market Size (2025) USD 661.74 Billion
Market Size (2030) USD 849.81 Billion
CAGR (2025 - 2030) 5.13 %
Fastest Growing Market Asia
Largest Market Asia
Market Concentration Low

Major Players

Car Insurance Market Major Players

*Disclaimer: Major Players sorted in no particular order

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Car Insurance Market Analysis

The Car Insurance Market size in terms of gross written premiums value is expected to grow from USD 661.74 billion in 2025 to USD 849.81 billion by 2030, at a CAGR of 5.13% during the forecast period (2025-2030).

With the rise in the volume of car sales post-pandemic, the car insurance industry is also observing positive growth, raising the car insurance premium in global comparison with the leading sales of cars, with SUVs and medium cars having the largest share in sales. Non-life insurance penetration is creating opportunities for the expansion of car insurance products.

Post-COVID-19, to overcome challenges, insurers established new tendencies in current policies such as pay-as-you-drive, usage-based insurance, and telematics insurance plans. They adopted technologies to enhance the claim approaches and grant a higher user experience. The increase in the market size of the insurtech industry post-pandemic has resulted in an increasing number of users making online claims and buying insurance products for their cars online.

Rising economic inequality and declining employment have led to an increase in the motor vehicle theft rate, resulting in an increasing number of car owners opting for preventive measures of car insurance. With the rise in inflation and interest rates, business strategy car insurance providers are declining their insurance premiums rates to attract an increasing number of car buyers for insurance. With rising car sales and efforts by insurance companies to expand their insurance products, the car insurance market is expected to have positive growth over the coming period.

Car Insurance Industry Overview

The car insurance market is fragmented with an increasing number of players in the market. The market has a large number of players existing in different regional markets. Technological innovations are resulting in the creation of customized car insurance policies based on collected driving details of the driver. Some of the existing players in the car insurance market are State Farm, GEICO, Progressive Corporation, Allstate Corporation, and Berkshire Hathaway.

Car Insurance Market Leaders

  1. State Farm

  2. GEICO

  3. Progressive Corporation

  4. Allstate Corporation

  5. Berkshire Hathaway

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

  • June 2022: StoneRidge Insurance Brokers (SIB) has formed a new partnership deal with K5 Insurance, a full-service insurance brokerage. The partnership with K5 Insurance expands its personal and commercial presence in both Manitoba and Saskatchewan.
  • January 2023: Tekion, the innovator of the Automotive Retail Cloud, partnered with Polly, the leading insurance marketplace for automotive retail. Through this partnership, dealers can access Polly’s insurance quotes directly from Tekion ARC.

Car InsuranceMarket Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET INSIGHTS AND DYNAMICS

  • 4.1 Market Overview
  • 4.2 Market Drivers
    • 4.2.1 Increase in Sales of Car
    • 4.2.2 Increase in Number of Car Accidents
  • 4.3 Market Restraints
    • 4.3.1 Regulations are Posing Barriers to Entry for New Players
  • 4.4 Market Opportunities
    • 4.4.1 Digital Technology Creates Opportunities for New Entrants
  • 4.5 Industry Attractiveness: Porter's Five Forces Analysis
    • 4.5.1 Bargaining Power of Suppliers
    • 4.5.2 Bargaining Power of Buyers
    • 4.5.3 Threat of New Entrants
    • 4.5.4 Threat of Substitutes
    • 4.5.5 Intensity of Competitive Rivalry
  • 4.6 Technological Innovations in Car Insrance Market
  • 4.7 Insights on Regulatory Trends Shaping the Market
  • 4.8 Impact of COVID 19 on the Market

5. MARKET SEGMENTATION

  • 5.1 By Coverage
    • 5.1.1 Third-Party Liability Coverage
    • 5.1.2 Collision/Comprehensive/Other Optional Coverage
  • 5.2 By Application
    • 5.2.1 Personal Vehicles
    • 5.2.2 Commercial Vehicles
  • 5.3 By Distribution Channel
    • 5.3.1 Direct Sales
    • 5.3.2 Individual Agents
    • 5.3.3 Brokers
    • 5.3.4 Banks
    • 5.3.5 Online
    • 5.3.6 Other Distribution Channels
  • 5.4 By Region
    • 5.4.1 North America
    • 5.4.1.1 United States
    • 5.4.1.2 Canada
    • 5.4.1.3 Rest of North America
    • 5.4.2 Europe
    • 5.4.2.1 Germany
    • 5.4.2.2 United Kingdom
    • 5.4.2.3 France
    • 5.4.2.4 Russia
    • 5.4.2.5 Spain
    • 5.4.2.6 Italy
    • 5.4.2.7 Rest of Europe
    • 5.4.3 Asia-Pacific
    • 5.4.3.1 India
    • 5.4.3.2 China
    • 5.4.3.3 Japan
    • 5.4.3.4 Australia
    • 5.4.3.5 Rest of Asia-Pacific
    • 5.4.4 South America
    • 5.4.4.1 Brazil
    • 5.4.4.2 Argentina
    • 5.4.4.3 Rest of South America
    • 5.4.5 Middle East
    • 5.4.5.1 United Arab Emirates
    • 5.4.5.2 South Africa
    • 5.4.5.3 Rest of Middle East and Africa
    • 5.4.6 Rest of the World

6. COMPETITIVE LANDSCAPE

  • 6.1 Market Concentration Overview
  • 6.2 Company Profiles
    • 6.2.1 State Farm
    • 6.2.2 GEICO
    • 6.2.3 Progressive Corporation
    • 6.2.4 Allstate Corporation
    • 6.2.5 Berkshire Hathaway
    • 6.2.6 USAA (United Services Automobile Association)
    • 6.2.7 Zurich Insurance Group
    • 6.2.8 AXA
    • 6.2.9 Liberty Mutual Group
    • 6.2.10 Nationwide Mutual Insurance Company
    • 6.2.11 Travelers Companies Inc.
    • 6.2.12 American Family Insurance Group
    • 6.2.13 Farmers Insurance Group
    • 6.2.14 Generali Group
    • 6.2.15 Direct Line Insurance Group*
  • *List Not Exhaustive

7. MARKET FUTURE TRENDS

8. DISCLAIMER AND ABOUT US

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Car Insurance Industry Segmentation

Car insurance is a contract between the car owner and the insurance company where the car owner agrees to pay a fixed premium rate over some time for protection against financial loss in the event of any damage or loss to the car.

The study gives a brief description of the car insurance market and includes details on car insurance premiums, investment by car insurance companies, and the launch of new car insurance products.

The car insurance market is segmented by coverage, by application, by distribution channel, and by region. By coverage, the market is segmented into third-party liability coverage and collision/comprehensive/other optional coverage. By application, the market is segmented into personal vehicles and commercial vehicles. By distribution channel, the market is segmented into individual agents, brokers, banks, online, and other distribution channels. By region, the market is segmented into north america, europe, asia-pacific, south america, middle east and africa, rest of the world.

The report also covers the market sizes and forecasts for the car insurance market in value (USD) for all the above segments.

By Coverage Third-Party Liability Coverage
Collision/Comprehensive/Other Optional Coverage
By Application Personal Vehicles
Commercial Vehicles
By Distribution Channel Direct Sales
Individual Agents
Brokers
Banks
Online
Other Distribution Channels
By Region North America United States
Canada
Rest of North America
Europe Germany
United Kingdom
France
Russia
Spain
Italy
Rest of Europe
Asia-Pacific India
China
Japan
Australia
Rest of Asia-Pacific
South America Brazil
Argentina
Rest of South America
Middle East United Arab Emirates
South Africa
Rest of Middle East and Africa
Rest of the World
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Car InsuranceMarket Research FAQs

How big is the Car Insurance Market?

The Car Insurance Market size is expected to reach USD 661.74 billion in 2025 and grow at a CAGR of 5.13% to reach USD 849.81 billion by 2030.

What is the current Car Insurance Market size?

In 2025, the Car Insurance Market size is expected to reach USD 661.74 billion.

Who are the key players in Car Insurance Market?

State Farm, GEICO, Progressive Corporation, Allstate Corporation and Berkshire Hathaway are the major companies operating in the Car Insurance Market.

Which is the fastest growing region in Car Insurance Market?

Asia is estimated to grow at the highest CAGR over the forecast period (2025-2030).

Which region has the biggest share in Car Insurance Market?

In 2025, the Asia accounts for the largest market share in Car Insurance Market.

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

In 2024, the Car Insurance Market size was estimated at USD 627.79 billion. The report covers the Car Insurance Market historical market size for years: 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Car Insurance Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

Car InsuranceIndustry Report

Statistics for the 2025 Car Insurance market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Car 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.

Car Insurance Market Report Snapshots