The global home insurance market is predicted to undergo huge growth in the coming years. The Asia-Pacific market for home insurance is projected to dominate the global industry.
NEW YORK, Sept. 23, 2021 /PRNewswire/ -- Research Dive has published a report titled "Home Insurance Market by Coverage (Comprehensive Coverage, Dwelling Coverage, Content Coverage, and Other Optional Coverages), End User (Landlords and Tenants), Regional Analysis (North America, Europe, Asia-Pacific, and LAMEA): Global Opportunity Analysis and Industry Forecast, 2021-2028".
The global Home Insurance Market is projected to garner $4,07,940.4 million in the 2021-2028 timeframe, growing from $2,41,006.8 million in 2020 at a healthy CAGR of 6.8%.
The Asia-Pacific market for home insurance is estimated to witness significant growth and garner a revenue of $82,404.0 million by the year 2028. Increased economic development and rising per capita income in Asia-Pacific countries such as China, India, Vietnam, and others has resulted in higher economic standards of living, as well as increased demand for better housing services, which is expected to boost the growth of the Asia-Pacific home insurance market.
The report has divided the market into coverage, end user, and region.
In the coverage segment, the dwelling coverage sub-segment held $42,895.60 million in 2020 is projected to witness the fastest market growth and garner a revenue of $77,271.6 million by 2028. The rise in crime incidents such as theft, vandalism, and others are expected to increase global demand for dwelling insurance. Theft and vandalism crimes are covered by dwelling insurance, and crime rates have increased in underdeveloped and developing countries, assisting in the expansion of dwelling coverage. These aforementioned factors are expected to fuel the growth of the market in the analysis period.
In the end user sub-segment, the tenants sub-segment of the global home insurance market is estimated to be the most lucrative and it is predicted to surge at a notable CAGR of 9.3%. The growing demand for affordable housing services as a result of global urbanization is expected to aid the growth of this subsegment. Due to high demand for affordable housing services for the urban population, developing countries with large populations and high economic growth rates, such as China and India, are expected to drive the growth of this subsegment in the upcoming years.
Impact Analysis of COVID-19 on the Global Home insurance Market
The real estate industry has suffered significantly as a result of the restrictions on construction activities, which has resulted in a decrease in demand and requirement for home insurance services during the pandemic. The global home insurance market has witnessed a negative impact of the COVID-19 pandemic and is expected to recover during the forecast timeframe.
To stay relevant and gain a significant market share in the home insurance sector, organizations around the world that provide home insurance services are implementing business strategies such as acquisition and partnerships. For example, in June 2021, Generali Group, an Italian insurance company, paid €167 million in cash for the acquisition of French multinational insurance firm AXA's "Life & Savings and Property & Casualty" businesses in Greece. Such factors are expected to have a positive impact on the global home insurance market.
The global home insurance market is expected to be driven by rising demand for property and casualty insurance services. Globally, rising environmental and catastrophic damage events such as earthquake, avalanche, forest fire, flood, lightning, hurricane, tsunami, tornado, and volcanic eruption have increased the need for property insurance and aided the growth of the home insurance market.
In addition, the "Disaster Risk Financing and Insurance (DRFI) Program," a joint initiative of the World Bank Group's Finance, Competitiveness, and Innovation Global Practice and the Global Facility for Disaster Reduction and Recovery (GFDRR), was established in 2010 to implement comprehensive financial protection strategies. Initiatives like these are expected to improve the accessibility of home insurance services and raise awareness about their importance. These factors are expected to contribute to the growth of the home insurance market.
The lack of awareness about the advantages of home insurance services in rural areas and developing countries is expected to limit market growth. Furthermore, high instalments in home insurance services are a key issue that may have a negative impact on market growth during the forecast period.
Top 10 Key Players of Home Insurance Market and Their Strategies
The most significant players of the global home insurance market include
For instance, in May 2020, Liberty Mutual Insurance's commercial property claims unit announced that it has enhanced the technology it employs to quickly and accurately inspect and estimate commercial property claims remotely in anticipation of the Atlantic hurricane season.
The industry players are focusing on developing several strategies such as mergers & acquisitions, partnerships, and product launches to promote to the expansion of the market.
They are focusing on advanced product developments and merger & acquisition. These are some of the strategies conducted by the startups as well as established business organizations.
Research Dive is a market research firm based in Pune, India. Maintaining the integrity and authenticity of the services, the firm provides the services that are solely based on its exclusive data model, compelled by the 360-degree research methodology, which guarantees comprehensive and accurate analysis. With an unprecedented access to several paid data resources, team of expert researchers, and strict work ethic, the firm offers insights that are extremely precise and reliable. Scrutinizing relevant news releases, government publications, decades of trade data, and technical & white papers, Research dive deliver the required services to its clients well within the required timeframe. Its expertise is focused on examining niche markets, targeting its major driving factors, and spotting threatening hindrances. Complementarily, it also has a seamless collaboration with the major industry aficionado that further offers its research an edge.