Insurtech Market Size to Hit $152.9B by 2033: Strategic Insights & Trends

Market Size & Growth

• Market Size (2024): USD 10.3 Billion
• Projected Market Size (2033): USD 152.9 Billion
• Compound Annual Growth Rate (CAGR) (2025-2033): 31.51%

Key Market Drivers

• Digital Transformation and Customer-Centric Services
• Advanced Technologies: AI, IoT, and Blockchain
• Government Support and Inclusive Regulations

Emerging Trends

• Personalization and On-Demand Insurance
• Integration of IoT, Telematics, and Usage-Based Models
• AI-Driven Underwriting and Embedded Insurance

Segmentation Highlights

• Analysis by Type
• Analysis by Service
• Analysis by Technology
• Regional Analysis

Market Overview:

According to IMARC Group's latest research publication, the global insurtech market size was valued at USD 10.3 Billion in 2024. Looking forward, IMARC Group estimates the market to reach USD 152.9 Billion by 2033, exhibiting a CAGR of 31.51% from 2025-2033.

This detailed analysis primarily encompasses industry size, business trends, market share, key growth factors, and regional forecasts. The report offers a comprehensive overview and integrates research findings, market assessments, and data from different sources. It also includes pivotal market dynamics like drivers and challenges, while also highlighting growth opportunities, financial insights, technological improvements, emerging trends, and innovations. Besides this, the report provides regional market evaluation, along with a competitive landscape analysis.

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Our report includes:

• Market Dynamics
• Market Trends and Market Outlook
• Competitive Analysis
• Industry Segmentation
• Strategic Recommendations

Growth Factors in the Insurtech Market

• Digital Transformation and Customer-Centric Services

The insurtech boom is powered by a shift toward digital tools and platforms, making insurance simpler and more inclusive for everyone. Today, more than 60% of consumers prefer handling their insurance needs through mobile apps and online portals, enjoying frictionless policy purchases and quick claims. Digital-first platforms like Policybazaar have reshaped customer engagement by enabling hassle-free price comparisons and tailored recommendations. Markets with widespread smartphone access, some already at 60% penetration or higher, are experiencing a dramatic reduction in operational costs for insurers while boosting overall efficiency and consumer empowerment.

• Advanced Technologies: AI, IoT, and Blockchain

Insurtech is leveraging cutting-edge tech like artificial intelligence, machine learning, and blockchain to personalize products, streamline claims, and cut risks. Predictive analytics is now cutting billions in fraud losses annually, while embedded AI speeds up underwriting and improves risk assessment accuracy. Blockchains offer tamper-proof ways to manage policies, with pioneers like Amodo and Galileo Platforms driving secure, transparent transactions. Investment is booming—over 200 deals in the U.S. alone—supporting startups focused on better customer experiences, such as automated claims and dynamic pricing, across fast-growing regions like North America, which controls nearly 39% of the global market.

• Government Support and Inclusive Regulations

Supportive government policies and regulatory reforms are boosting insurtech's global reach. In India, the IRDAI’s Bima Sugam portal has connected insurers, intermediaries, and customers to simplify insurance for all, while schemes like Pradhan Mantri Jeevan Jyoti Bima Yojana have enrolled hundreds of millions for basic coverage. The UK’s 280+ insurtech firms benefit from regulatory sandboxes and tailored investment incentives, encouraging safe innovation. China’s Insurtech Development Plan and Australia’s Entrepreneurs’ Program also stimulate innovation and accessibility, making insurance more inclusive, particularly in underserved populations.

Key Trends in the Insurtech Market

• Personalization and On-Demand Insurance

Insurtechs are reshaping the market with tailored policies and bite-sized insurance products that fit real-life needs. Think on-demand protection for your smartphone only when you travel, or microinsurance for each online purchase. Wearables now help insurers monitor health in real time, letting them reward healthy habits and offer flexible rates. E-commerce microinsurance is growing fast, covering everything from delayed deliveries to accidental damage and giving shoppers more peace of mind with every transaction. It's a shift toward products that fit today’s digital-first and dynamic lifestyles.

• Integration of IoT, Telematics, and Usage-Based Models

The rise of IoT and telematics is allowing insurers to go beyond static risk assessments. In auto insurance, telematics devices track actual driving behavior—speed, braking, mileage—so safe drivers pay less, and risky habits get flagged promptly. Home sensors are enabling proactive coverage for things like water leaks or temperature swings. Insurers can spot and prevent problems before they cause costly claims, leading to lower premiums and fewer headaches for homeowners. This data-driven approach means more accurate, fair, and usually lower pricing for customers. In short, you get coverage that reflects your true risk, not just a statistical average.

• AI-Driven Underwriting and Embedded Insurance

Artificial intelligence is at the core of new insurance experiences, driving smarter underwriting, faster claims, and smoother customer service. Leading companies like Manulife are rolling out generative AI tools companywide, unlocking new ways to tailor products and predict customer needs. Embedded insurance is another big trend: brands like General Motors and Tesla bundle insurance right at the point of purchase with a car, using their proprietary tech to deliver coverage seamlessly. Strategic partnerships—like Cytora and Confianza—are helping insurers target the right risks and optimize loss ratios with AI-powered precision, keeping both costs and friction low for everyone involved.

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Leading Companies Operating in the Global Insurtech Industry:

• Clover Health LLC
• Damco Group
• DXC Technology Company
• Insurance Technology Services
• Majesco (Aurum PropTech Limited)
• Oscar Insurance Corporation
• Quantemplate
• Shift Technology
• Travelers Companies, Inc.
• Wipro
• ZhongAn Online P&C Insurance Co. Ltd.

Insurtech Market Report Segmentation:

By Type:

• Auto
• Business
• Health
• Home
• Specialty
• Travel
• Others

Based on the type, the market has been classified into auto, business, health, home, specialty, travel, and others.

By Service:

• Consulting
• Support and Maintenance
• Managed Services

On the basis of the service, the market has been divided into consulting, support and maintenance, and managed services.

By Technology:

• Blockchain
• Cloud Computing
• IoT
• Machine Learning
• Robo Advisory
• Others

Cloud computing accounts for the largest market share due to its scalability, cost-efficiency, and ability to provide insurers with seamless access to data and applications, enabling streamlined operations and enhanced customer experiences.

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's dominance in the insurtech market is attributed to its robust technological infrastructure, high adoption rates of digital solutions, and well-established insurance industry, making it a fertile ground for the growth of insurtech companies.

Research Methodology:

The report employs a comprehensive research methodology, combining primary and secondary data sources to validate findings. It includes market assessments, surveys, expert opinions, and data triangulation techniques to ensure accuracy and reliability.

Note: If you require specific details, data, or insights that are not currently included in the scope of this report, we are happy to accommodate your request. As part of our customization service, we will gather and provide the additional information you need, tailored to your specific requirements. Please let us know your exact needs, and we will ensure the report is updated accordingly to meet your expectations.

About Us:

IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.

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