BANGALORE, India, April 5, 2021 /PRNewswire/ -- The Insurance Telematics Market is segmented by Type (Cloud, On-Premise), by Application (Passenger Vehicle, Commercial Vehicle). The report covers global opportunity analysis and industry forecast from 2020 to 2027. It is published on Valuates Reports in the Insurance Category.
The global Insurance Telematics market size is projected to reach USD 3556 Million by 2026, from USD 1574.2 Million in 2019, at a CAGR of 11.9% during 2021-2026.
Telematics refers to technologies used to collect vehicle information and transmit it wirelessly to outside systems. Telematics is frequently powered by in-vehicle telecommunication systems (telematics)-technology that can be self-installed using a plug-in system or is already included in original equipment installed by vehicle manufacturers.
Major factors driving the growth of insurance telematics market size are the increasing number of laws and regulations related to driver safety and decreased cost of connectivity solutions. Opportunity to provide tailored insurance products based on vast amounts of telematics data.
TRENDS INFLUENCING THE INSURANCE TELEMATICS MARKET SIZE
Rising consumer demand for high connectivity and intelligence within their vehicles and increasing government initiatives to encourage telematics services in their respective countries are all contributing to the growth of telematics market size.
The increasing adoption of Telematics by automotive insurers is expected to drive the growth of the insurance telematics market size. Harnessing large volumes of data from real-time sources can help insurers develop new products and refine pricing strategies. When combined with a robust operating strategy, advanced analytics can significantly increase underwriting profitability and provide a valuable market differentiator.
The high adoption of UBI (Usage-Based Insurance ) is expected to increase the growth of the Insurance telematics market size. Under this model, customization features such as insurance premium payment based on driving activity and degree of exposure have resulted in substantial performance.
Because of the industry's creative practices and preferred use of cloud technologies, cloud deployment is gaining momentum. Several key players are now focusing on cloud platforms to provide UBI services. This, in turn, is expected to create lucrative growth opportunities for the cloud segment.
Based on application, the passenger vehicle segment is expected to be the most lucrative segment. Enterprises in the telematics sector are active in managing a fleet of insured cars within an interconnected digital supply chain. Therefore, fleet management practices for passenger vehicles are expected to witness lucrative opportunities in the near future.
Based on region, North America is expected to be the most lucrative segment. The presence of key players, technological advances, and high demand for interconnected services are the major factors contributing to North America's Insurance telematics market size. North American insurance firms have accelerated their adoption of cloud solutions and software and data migration to the cloud network.
- The Connected Car Market size is expected to grow from USD 64,941.56 Million in 2019 to USD 170,256.69 Million by the end of 2025 at a CAGR of 17.42%.
- The Telematics Market is segmented by Type Automotive OEM, After Market, by Application Automotive, Insurance, Healthcare and by various regions.
- The Passenger Vehicle Telematics Market is segmented by Type Remote Message Processing System, Brake System, Transmission Control System, by Application Passenger Car, Commercial Vehicle and by various regions.
- Usage-Based Insurance (UBI) Market is segmented by Type Pay-As-You-Drive Insurance (PAYD), Pay-How-You-Drive Insurance (PHYD), Pay-As-You-Go Insurance (PAYG), Distance Based Insurance, by Application Men, Women and by various regions.
Valuates offers in-depth market insights into various industries. Our extensive report repository is constantly updated to meet your changing industry analysis needs.
Our team of market analysts can help you select the best report covering your industry. We understand your niche region-specific requirements and that's why we offer customization of reports. With our customization in place, you can request for any particular information from a report that meets your market analysis needs.
To achieve a consistent view of the market, data is gathered from various primary and secondary sources, at each step, data triangulation methodologies are applied to reduce deviance and find a consistent view of the market. Each sample we share contains detail research methodology employed to generate the report, Please also reach to our sales team to get the complete list of our data sources