United State Car Insurance Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 194.15 Billion |
| Market Size (2028) | USD 238.60 Billion |
| CAGR (2024 - 2029) | 4.21 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
United State Car Insurance Market Analysis
The United State Car Insurance Market size in terms of gross written premiums value is expected to grow from USD 194.15 billion in 2024 to USD 238.60 billion by 2028, at a CAGR of 4.21% during the forecast period (2024-2028).
The car insurance sector in the United States is increasing at a higher rate because the financial awareness of people in the United States is growing. So, the need to protect assets also increases. Growing demand for personal mobility solutions, increasing disposable income, improved standard of living, and the rise of the middle class are some of the factors that support the growth of the car insurance market in the United States.
After COVID-19 the demand for personalized insurance offerings created a rise for usage-based insurance as a primary business model. Therefore, artificial intelligence (AI) as a technology driver is shaping the car insurance industry.
The adoption of advanced technologies such as artificial intelligence, the Internet of Things, and data analytics is creating a digital platform for the car insurance industry. The origin of online insurance sellers and aggregators is boosting the growth of the car insurance industry in the United States.
This industry underwrites or assumes the risk and assigns premiums for car insurance policies. Car insurance provides financial protection against physical damage to automobiles and bodily injuries resulting from traffic incidents. Car insurance can also protect against the resulting liability.
United State Car Insurance Market Trends
Rise In Number Of Traffic Accidents
As traffic accidents increase, demand for car insurance also increases, providing financial security for the damage to the car. Mainly, road accidents occur due to road crashes, traffic injuries, drunk driving, and distracted driving due to speed. As a result, demand for car insurance increases. The National Highway Traffic Safety Administration released that in the current year, 42,795 people died due to car accidents in the United States.
Online Sales Of Car Insurance Drives The Market
Online insurance is one of the largest segments in the United States insurance sector. The rise in digitalization is boosting the growth of online sales in the car insurance sector. Purchasing car insurance online can be done at any time according to the customer’s convenience, and it also saves time. The advantage of purchasing United States car insurance online is that customers can compare the price range from different insurers. And some insurers in the United States provide discounts for customers who purchase car insurance online. Since the United State’s online car insurance is not far behind when it comes to harnessing digital technology to scale the business model, therefore there is tremendous growth in online sales of car insurance in the United States.
United State Car Insurance Industry Overview
The United States car insurance market is a consolidated industry. Leading market players are investing heavily in research and development in order to expand their product lines, which will help the car insurance market grow even more. Market players are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, and collaboration with other organizations. The United States car Insurance Market leaders are State Farm Mutual Automobile Insurance, Berkshire Hathaway Inc., Progressive Corp., Allstate Corp., and USAA Insurance Group.
United State Car Insurance Market Leaders
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State Farm Mutual Automobile Insurance
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Berkshire Hathaway Inc.
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Progressive Corp.
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Allstate Corp.
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USAA Insurance Group
*Disclaimer: Major Players sorted in no particular order
United State Car Insurance Market News
- August 2023: AXA S.A. introduced its latest digital claims solution, STeP, which simplifies the car insurance process.
- May 2022: GEICO partnered with Tractable, an AI technology company, to accelerate its car claim and repair process. The AI is used to assess car damage.
United State Car Insurance Market 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 DYNAMICS AND INSIGHTS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Rising Number of Accidents Drives The Market
4.2.2 An increase in Road Traffic Accidents Drives The Market
4.3 Market Restraints
4.3.1 Increase in False Claims and Scams
4.4 Market Opportunities
4.4.1 Embracing of AI Gaining Momentum
4.5 Industry Value Chain Analysis
4.6 Industry Attractiveness - Porter's Five Forces Analysis
4.6.1 Threat of New Entrants
4.6.2 Bargaining Power of Buyers
4.6.3 Bargaining Power of Suppliers
4.6.4 Threat of Substitutes
4.6.5 Intensity of Competitive Rivalry
4.7 Insights on technology innovation in 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 Agents
5.3.2 Banks
5.3.3 Brokers
5.3.4 Other Distribution Channel
6. COMPETITIVE LANDSCAPE
6.1 Market Concetration Overview
6.2 Company Profiles
6.2.1 State Farm Mutual Automobile Insurance
6.2.2 Berkshire Hathaway Inc.
6.2.3 Progressive Corp.
6.2.4 Allstate Corp.
6.2.5 USAA Insurance Group
6.2.6 Liberty Mutual
6.2.7 Farmers Insurance Group of Companies
6.2.8 Nationwide Mutual Group
6.2.9 American Family Insurance Group
6.2.10 Travelers Companies Inc.*
- *List Not Exhaustive
7. MARKET FUTURE TRENDS
8. DISCLAIMER AND ABOUT US
United State Car Insurance Industry Segmentation
Car insurance is a type of insurance that provides cover for loss or damage to the car. It helps to mitigate monetary harm due to accidents, causing damage to cars. The United States car insurance market is segmented by coverage, application, distribution channel, and by geography. 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. Other distribution channels include financial institutions other than banks, phone marketing, and mail marketing. The report also covers the market sizes and forecasts for the United States 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 | |
| Agents | |
| Banks | |
| Brokers | |
| Other Distribution Channel |
United State Car Insurance Market Research FAQs
How big is the United State Car Insurance Market?
The United State Car Insurance Market size is expected to reach USD 194.15 billion in 2024 and grow at a CAGR of 4.21% to reach USD 238.60 billion by 2028.
What is the current United State Car Insurance Market size?
In 2024, the United State Car Insurance Market size is expected to reach USD 194.15 billion.
Who are the key players in United State Car Insurance Market?
State Farm Mutual Automobile Insurance, Berkshire Hathaway Inc., Progressive Corp., Allstate Corp. and USAA Insurance Group are the major companies operating in the United State Car Insurance Market.
What years does this United State Car Insurance Market cover, and what was the market size in 2023?
In 2023, the United State Car Insurance Market size was estimated at USD 185.98 billion. The report covers the United State Car Insurance Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the United State Car Insurance Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
United State Car Insurance Industry Report
Statistics for the 2024 United State Car Insurance market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. United State Car Insurance analysis includes a market forecast outlook to for 2024 to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.
