Market Overview:
The global automotive usage-based insurance market is expected to grow at a CAGR of 16.5% during the forecast period from 2018 to 2030. The market growth can be attributed to the increasing penetration of PAYD and PHYD policies, rising demand for HDV, and technological advancements in telematics devices. In terms of type, the PAYD segment is expected to account for the majority share of the global automotive usage-based insurance market in 2018. This can be attributed to the growing preference for pay-as-you-drive policies among consumers owing to their lower premiums as compared with traditional car insurance policies. In terms of application, HDV is expected to witness highest growth during the forecast period owing to increasing demand from commercial fleets and logistics companies across regions.
Product Definition:
Usage-based insurance (UBI) is a type of car insurance that bases premiums on how much a vehicle is driven. UBI typically uses GPS or telematics devices to track mileage, and rewards safe drivers with lower premiums. The goal of UBI is to encourage safer driving and lower the cost of car insurance for everyone.
Pay-As-You-Drive(PAYD):
Pay-As-You-Drive (PAYD) is a type of insurance policy offered by auto insurance companies. It allows drivers to pay for the cost of coverage based on their driving behavior instead of fixed premiums. The main aim of this type of policy is to encourage safe driving and minimize losses due to accidents.
Pay-How-You-Drive(PHYD):
Pay-How-You-Drive (PHYD) is an insurance model in which the insurance premium depends upon the driving style of the driver. The main aim of this system is to encourage safe driving and ensure that drivers are financially liable for damages caused by them.
Application Insights:
Based on the application, the market has been segmented into light-duty vehicle (LDV), heavy-duty vehicle (HDV) and manage/maintain-how-you-drive (MHYD). The LDV segment dominated the usage based insurance market in 2017. This is attributed to factors such as low premium cost and easy availability of coverages. Usage based insurance for LDVs provides coverage during a period when no other form of automobile insurance is available, i.e., Pay As You Drive or Pay For How Much Driving You Do ¢â‚¬Ëœ whichever comes first.
The HDV segment is expected to witness significant growth over the forecast period owing to factors such as increasing number of commercial vehicles in developed economies including Germany, France and U.K.
Regional Analysis:
The market in North America is expected to grow at a significant rate over the forecast period. The growth can be attributed to increasing accidents, rising number of vehicles on road and stringent laws regarding insurance coverage for vehicle damage caused by uninsured drivers. In addition, technological advancements such as Vehicle-to-Vehicle(V2V) communication and Automatic Emergency Braking (AEB) are also expected to drive the regional market growth over the forecast period.
Asia Pacific is estimated to be one of the fastest growing regions with a CAGR exceeding 6% from 2018 to 2030 owing high population density along with rapid urbanization resulting in increased demand for automobiles. Furthermore, low penetration rate of usage based insurance coupled with lackadaisical attitude towards vehicle maintenance will further boost regional market growth during the forecast period.
Growth Factors:
- Increasing demand for usage-based insurance products owing to the benefits offered such as lower premiums, reduced risk, and customized coverage.
- Proliferation of connected cars and the advent of autonomous vehicles that are equipped with sensors and telematics systems that can track driving behavior and transmit data to insurers for analysis. This will help insurers develop more accurate risk profiles for policyholders, which will lead to better pricing for usage-based insurance products.
- The increasing popularity of shared mobility services such as carpooling and ride-sharing, which will result in a decline in private vehicle ownership rates over time. This will provide a boost to the automotive usage-based insurance market as insurers tap into this trend by offering discounts on premiums to policyholders who use these services regularly.
- The growing focus on safety among consumers, especially millennials, who are increasingly opting for safety features such as collision avoidance systems while purchasing cars. Usage-based insurance products that reward safe driving habits could be appealing to this demographic segment .
Scope Of The Report
Report Attributes
Report Details
Report Title
Automotive Usage-based Insurance Market Research Report
By Type
Pay-As-You-Drive(PAYD), Pay-How-You-Drive(PHYD), Manage-How-You-Drive(MHYD)
By Application
Light-Duty Vehicle(LDV), Heavy-Duty Vehicle(HDV)
By Companies
Progressive, Allstate, Octo Telematics, MetroMile, Allianz, AXA, Liberty Mutual, Verizon, Movitrack Viasat, Nationwide, Esurance, Safeco, Travellers, Liberty Mutual Insurance, AIOI, QBE, Modus Group, Intelligent Mechatronic Systems, Inseego, Truemotion, Cambridge Mobile Telematics
Regions Covered
North America, Europe, APAC, Latin America, MEA
Base Year
2021
Historical Year
2019 to 2020 (Data from 2010 can be provided as per availability)
Forecast Year
2030
Number of Pages
147
Number of Tables & Figures
103
Customization Available
Yes, the report can be customized as per your need.
Global Automotive Usage-based Insurance Market Report Segments:
The global Automotive Usage-based Insurance market is segmented on the basis of:
Types
Pay-As-You-Drive(PAYD), Pay-How-You-Drive(PHYD), Manage-How-You-Drive(MHYD)
The product segment provides information about the market share of each product and the respective CAGR during the forecast period. It lays out information about the product pricing parameters, trends, and profits that provides in-depth insights of the market. Furthermore, it discusses latest product developments & innovation in the market.
Applications
Light-Duty Vehicle(LDV), Heavy-Duty Vehicle(HDV)
The application segment fragments various applications of the product and provides information on the market share and growth rate of each application segment. It discusses the potential future applications of the products and driving and restraining factors of each application segment.
Some of the companies that are profiled in this report are:
- Progressive
- Allstate
- Octo Telematics
- MetroMile
- Allianz
- AXA
- Liberty Mutual
- Verizon
- Movitrack Viasat
- Nationwide
- Esurance
- Safeco
- Travellers
- Liberty Mutual Insurance
- AIOI
- QBE
- Modus Group
- Intelligent Mechatronic Systems
- Inseego
- Truemotion
- Cambridge Mobile Telematics
Highlights of The Automotive Usage-based Insurance Market Report:
- The market structure and projections for the coming years.
- Drivers, restraints, opportunities, and current trends of market.
- Historical data and forecast.
- Estimations for the forecast period 2030.
- Developments and trends in the market.
- By Type:
- Pay-As-You-Drive(PAYD)
- Pay-How-You-Drive(PHYD)
- Manage-How-You-Drive(MHYD)
- By Application:
- Light-Duty Vehicle(LDV)
- Heavy-Duty Vehicle(HDV)
- Market scenario by region, sub-region, and country.
- Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
- Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
- Government Policies, Macro & Micro economic factors are also included in the report.
We have studied the Automotive Usage-based Insurance Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2030.
Regional Analysis
- North America
- Europe
- Asia Pacific
- Middle East & Africa
- Latin America
Note: A country of choice can be added in the report at no extra cost. If more than one country needs to be added, the research quote will vary accordingly.
The geographical analysis part of the report provides information about the product sales in terms of volume and revenue in regions. It lays out potential opportunities for the new entrants, emerging players, and major players in the region. The regional analysis is done after considering the socio-economic factors and government regulations of the countries in the regions.
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8 Reasons to Buy This Report
- Includes a Chapter on the Impact of COVID-19 Pandemic On the Market
- Report Prepared After Conducting Interviews with Industry Experts & Top Designates of the Companies in the Market
- Implemented Robust Methodology to Prepare the Report
- Includes Graphs, Statistics, Flowcharts, and Infographics to Save Time
- Industry Growth Insights Provides 24/5 Assistance Regarding the Doubts in the Report
- Provides Information About the Top-winning Strategies Implemented by Industry Players.
- In-depth Insights On the Market Drivers, Restraints, Opportunities, and Threats
- Customization of the Report Available
Frequently Asked Questions?
Automotive usage-based insurance is a type of insurance that uses data from a vehicle’s sensors to calculate how much the vehicle is used and how often it is driven. The policyholder pays for the amount of coverage they need, based on their driving habits.
Some of the key players operating in the automotive usage-based insurance market are Progressive, Allstate, Octo Telematics, MetroMile, Allianz, AXA, Liberty Mutual, Verizon, Movitrack Viasat, Nationwide, Esurance, Safeco, Travellers, Liberty Mutual Insurance, AIOI, QBE, Modus Group, Intelligent Mechatronic Systems, Inseego, Truemotion, Cambridge Mobile Telematics.
The automotive usage-based insurance market is expected to register a CAGR of 16.5%.
Chapter 1 Executive Summary
Chapter 2 Assumptions and Acronyms Used
Chapter 3 Research Methodology
Chapter 4 Automotive Usage-based Insurance Market Overview
4.1 Introduction
4.1.1 Market Taxonomy
4.1.2 Market Definition
4.1.3 Macro-Economic Factors Impacting the Market Growth
4.2 Automotive Usage-based Insurance Market Dynamics
4.2.1 Market Drivers
4.2.2 Market Restraints
4.2.3 Market Opportunity
4.3 Automotive Usage-based Insurance Market - Supply Chain Analysis
4.3.1 List of Key Suppliers
4.3.2 List of Key Distributors
4.3.3 List of Key Consumers
4.4 Key Forces Shaping the Automotive Usage-based Insurance Market
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers
4.4.3 Threat of Substitution
4.4.4 Threat of New Entrants
4.4.5 Competitive Rivalry
4.5 Global Automotive Usage-based Insurance Market Size & Forecast, 2020-2028
4.5.1 Automotive Usage-based Insurance Market Size and Y-o-Y Growth
4.5.2 Automotive Usage-based Insurance Market Absolute $ Opportunity
Chapter 5 Global Market Analysis and Forecast by Type
5.1 Introduction
5.1.1 Key Market Trends & Growth Opportunities by Type
5.1.2 Basis Point Share (BPS) Analysis by Type
5.1.3 Absolute $ Opportunity Assessment by Type
5.2 Market Size Forecast by Type
5.2.1 Pay-As-You-Drive(PAYD)
5.2.2 Pay-How-You-Drive(PHYD)
5.2.3 Manage-How-You-Drive(MHYD)
5.3 Market Attractiveness Analysis by Type
Chapter 6 Global Market Analysis and Forecast by Applications
6.1 Introduction
6.1.1 Key Market Trends & Growth Opportunities by Applications
6.1.2 Basis Point Share (BPS) Analysis by Applications
6.1.3 Absolute $ Opportunity Assessment by Applications
6.2 Market Size Forecast by Applications
6.2.1 Light-Duty Vehicle(LDV)
6.2.2 Heavy-Duty Vehicle(HDV)
6.3 Market Attractiveness Analysis by Applications
Chapter 7 Global Automotive Usage-based Insurance Market Analysis and Forecast by Region
7.1 Introduction
7.1.1 Key Market Trends & Growth Opportunities by Region
7.1.2 Basis Point Share (BPS) Analysis by Region
7.1.3 Absolute $ Opportunity Assessment by Region
7.2 Automotive Usage-based Insurance Market Size Forecast by Region
7.2.1 North America
7.2.2 Europe
7.2.3 Asia Pacific
7.2.4 Latin America
7.2.5 Middle East & Africa (MEA)
7.3 Market Attractiveness Analysis by Region
Chapter 8 Coronavirus Disease (COVID-19) Impact
8.1 Introduction
8.2 Current & Future Impact Analysis
8.3 Economic Impact Analysis
8.4 Government Policies
8.5 Investment Scenario
Chapter 9 North America Analysis and Forecast
9.1 Introduction
9.2 North America Market Size Forecast by Country
9.2.1 U.S.
9.2.2 Canada
9.3 Basis Point Share (BPS) Analysis by Country
9.4 Absolute $ Opportunity Assessment by Country
9.5 Market Attractiveness Analysis by Country
9.6 North America Market Size Forecast by Type
9.6.1 Pay-As-You-Drive(PAYD)
9.6.2 Pay-How-You-Drive(PHYD)
9.6.3 Manage-How-You-Drive(MHYD)
9.7 Basis Point Share (BPS) Analysis by Type
9.8 Absolute $ Opportunity Assessment by Type
9.9 Market Attractiveness Analysis by Type
9.10 North America Market Size Forecast by Applications
9.10.1 Light-Duty Vehicle(LDV)
9.10.2 Heavy-Duty Vehicle(HDV)
9.11 Basis Point Share (BPS) Analysis by Applications
9.12 Absolute $ Opportunity Assessment by Applications
9.13 Market Attractiveness Analysis by Applications
Chapter 10 Europe Analysis and Forecast
10.1 Introduction
10.2 Europe Market Size Forecast by Country
10.2.1 Germany
10.2.2 France
10.2.3 Italy
10.2.4 U.K.
10.2.5 Spain
10.2.6 Russia
10.2.7 Rest of Europe
10.3 Basis Point Share (BPS) Analysis by Country
10.4 Absolute $ Opportunity Assessment by Country
10.5 Market Attractiveness Analysis by Country
10.6 Europe Market Size Forecast by Type
10.6.1 Pay-As-You-Drive(PAYD)
10.6.2 Pay-How-You-Drive(PHYD)
10.6.3 Manage-How-You-Drive(MHYD)
10.7 Basis Point Share (BPS) Analysis by Type
10.8 Absolute $ Opportunity Assessment by Type
10.9 Market Attractiveness Analysis by Type
10.10 Europe Market Size Forecast by Applications
10.10.1 Light-Duty Vehicle(LDV)
10.10.2 Heavy-Duty Vehicle(HDV)
10.11 Basis Point Share (BPS) Analysis by Applications
10.12 Absolute $ Opportunity Assessment by Applications
10.13 Market Attractiveness Analysis by Applications
Chapter 11 Asia Pacific Analysis and Forecast
11.1 Introduction
11.2 Asia Pacific Market Size Forecast by Country
11.2.1 China
11.2.2 Japan
11.2.3 South Korea
11.2.4 India
11.2.5 Australia
11.2.6 South East Asia (SEA)
11.2.7 Rest of Asia Pacific (APAC)
11.3 Basis Point Share (BPS) Analysis by Country
11.4 Absolute $ Opportunity Assessment by Country
11.5 Market Attractiveness Analysis by Country
11.6 Asia Pacific Market Size Forecast by Type
11.6.1 Pay-As-You-Drive(PAYD)
11.6.2 Pay-How-You-Drive(PHYD)
11.6.3 Manage-How-You-Drive(MHYD)
11.7 Basis Point Share (BPS) Analysis by Type
11.8 Absolute $ Opportunity Assessment by Type
11.9 Market Attractiveness Analysis by Type
11.10 Asia Pacific Market Size Forecast by Applications
11.10.1 Light-Duty Vehicle(LDV)
11.10.2 Heavy-Duty Vehicle(HDV)
11.11 Basis Point Share (BPS) Analysis by Applications
11.12 Absolute $ Opportunity Assessment by Applications
11.13 Market Attractiveness Analysis by Applications
Chapter 12 Latin America Analysis and Forecast
12.1 Introduction
12.2 Latin America Market Size Forecast by Country
12.2.1 Brazil
12.2.2 Mexico
12.2.3 Rest of Latin America (LATAM)
12.3 Basis Point Share (BPS) Analysis by Country
12.4 Absolute $ Opportunity Assessment by Country
12.5 Market Attractiveness Analysis by Country
12.6 Latin America Market Size Forecast by Type
12.6.1 Pay-As-You-Drive(PAYD)
12.6.2 Pay-How-You-Drive(PHYD)
12.6.3 Manage-How-You-Drive(MHYD)
12.7 Basis Point Share (BPS) Analysis by Type
12.8 Absolute $ Opportunity Assessment by Type
12.9 Market Attractiveness Analysis by Type
12.10 Latin America Market Size Forecast by Applications
12.10.1 Light-Duty Vehicle(LDV)
12.10.2 Heavy-Duty Vehicle(HDV)
12.11 Basis Point Share (BPS) Analysis by Applications
12.12 Absolute $ Opportunity Assessment by Applications
12.13 Market Attractiveness Analysis by Applications
Chapter 13 Middle East & Africa (MEA) Analysis and Forecast
13.1 Introduction
13.2 Middle East & Africa (MEA) Market Size Forecast by Country
13.2.1 Saudi Arabia
13.2.2 South Africa
13.2.3 UAE
13.2.4 Rest of Middle East & Africa (MEA)
13.3 Basis Point Share (BPS) Analysis by Country
13.4 Absolute $ Opportunity Assessment by Country
13.5 Market Attractiveness Analysis by Country
13.6 Middle East & Africa (MEA) Market Size Forecast by Type
13.6.1 Pay-As-You-Drive(PAYD)
13.6.2 Pay-How-You-Drive(PHYD)
13.6.3 Manage-How-You-Drive(MHYD)
13.7 Basis Point Share (BPS) Analysis by Type
13.8 Absolute $ Opportunity Assessment by Type
13.9 Market Attractiveness Analysis by Type
13.10 Middle East & Africa (MEA) Market Size Forecast by Applications
13.10.1 Light-Duty Vehicle(LDV)
13.10.2 Heavy-Duty Vehicle(HDV)
13.11 Basis Point Share (BPS) Analysis by Applications
13.12 Absolute $ Opportunity Assessment by Applications
13.13 Market Attractiveness Analysis by Applications
Chapter 14 Competition Landscape
14.1 Automotive Usage-based Insurance Market: Competitive Dashboard
14.2 Global Automotive Usage-based Insurance Market: Market Share Analysis, 2019
14.3 Company Profiles (Details – Overview, Financials, Developments, Strategy)
14.3.1 Progressive
14.3.2 Allstate
14.3.3 Octo Telematics
14.3.4 MetroMile
14.3.5 Allianz
14.3.6 AXA
14.3.7 Liberty Mutual
14.3.8 Verizon
14.3.9 Movitrack Viasat
14.3.10 Nationwide
14.3.11 Esurance
14.3.12 Safeco
14.3.13 Travellers
14.3.14 Liberty Mutual Insurance
14.3.15 AIOI
14.3.16 QBE
14.3.17 Modus Group
14.3.18 Intelligent Mechatronic Systems
14.3.19 Inseego
14.3.20 Truemotion
14.3.21 Cambridge Mobile Telematics
