Market Trends of US Electronic Gadgets Insurance Industry
Increase In Demand For Electronic Gadget Post Pandemic
With a continuous rise in Material and Labour costs, electronic supply prices are constantly increasing in the United States. These factors resulted in a surge in electronic gadget prices between 7% and 8% in the United States last year. As consumers pay a higher price for these electronic gadgets, spending more for insurance has emerged as a rising solution in the US Insurance market.
With rising inflation, the average price of smartphones has continuously increased in the United States, rising to USD 828 last year. Similarly, other gadgets also observe price inflation, raising demand for services related to insuring these products in case of loss.
Retail revenue from consumer electronic/technology sales in the United States observed a significant increase, rising to more than USD 500 billion combined with increased penetration of electronic gadgets in the United States.
Wearable devices, which are part of electronic gadgets and are available in varying pieces from average to expensive, have observed a rising market in the United States, with more than 67 Million users having the device as of last year, signaling an opportunistic market for US electronic gadget insurance.
High Penetration of Consumer Electronics in United States is Driving the Market
The United States is seeing a steady rise in the quality of life for the people in the country, with an increase in the per capita income and consumption spending. Expenditure on electronic devices has increased significantly in the U.S. The increase in the consumption of consumer electronics combined with the increasing cost of devices is prompting US consumers to take out insurance for their gadgets, leading to the market growth of gadget insurance. In the U.S., smartphones, personal computers (PCs), and laptops are some of the devices having the highest usage in the country, while tablets are next to them in terms of usage. As a result, different gadget insurance products are being developed based on the availability and usage of these devices.
