Cargo Insurance Market By Insurance Type (Air Cargo, Land Cargo, Marine Cargo), By Distribution Channel (Direct Sales, Indirect Sales), By End User (Traders, Cargo Owners, Ship Owners, Others): Global Opportunity Analysis and Industry Forecast, 2023-2032
The global cargo insurance market is anticipated to reach $105,975.1 million by 2032, growing from $71,414.4 million in 2022 at a CAGR of 4.1% from 2023 to 2032. Cargo insurance protects the insured against physical loss or damage to cargo while it is being transported. In addition, there are different types of cargo insurances available, including those for aviation, marine, and land transportation. Comprehensive protection is offered by cargo insurance against loss or damage brought on by various factors such as natural calamities, theft, and other factors. The cargo insurance coverage include various policies that offers insurance coverage against cargo renunciation, vehicle accidents, natural calamities such as piracy, war, and others. Cargo insurance is prerequisite for businesses that ship cargo frequently.
The rising popularity of marine cargo insurance owing to an increase in the volume of international shipments through sea routes is anticipated to drive the cargo insurance market share in the upcoming years. The cargo insurance for the goods transported via sea routes offers coverage on the damages caused due to bad weather conditions, piracies, loading & unloading of cargo, and others. For instance, in single coverage policies of marine cargo insurance, the coverage is offered on single shipment basis that can be beneficial for the small business owners. Also, for the companies that ship the cargos through shipping lines of airlines can opt for open coverage policy if they have more than one shipment. In addition, the cargo insurance providers can collaborate with insurance companies that can bring innovative technologies such as machine learning, artificial intelligence, and others to streamline the insurance claim submission process. Collaborating with insurtech companies can help the cargo insurance providers in enhancing their service offerings with unique value propositions, exploring alternative distribution channels, and diversifying their product portfolio. All these factors are anticipated to drive the cargo insurance industry growth in the upcoming years.
Some limitations associated with cargo insurance such as claims will not be paid in case of personal interference and high cost of marine insurance are estimated to restrain the market growth. In addition, damage caused to the goods due to poor packaging or flawed products is not covered under cargo insurance. Also, some cargo insurance companies do not cover insurance of any hazardous cargo or expensive and delicate things such as electronic devices which is anticipated to hamper the market growth during the forecast period.
Intense competition among insurance providers encourages innovation and the development of new cargo insurance products. Insurers strive to differentiate themselves by offering tailored coverage, value-added services, and efficient claims processing, which positively impact the cargo insurance market. IoT technology is continuously being incorporated by significant market players into their current marine insurance product lines to improve their offerings. This system facilitates the processing of claims, assists in loss forecasting, and monitors preclusion losses. This immediately expedites streamlined support for maritime insurance. Therefore, it is anticipated that the adoption of IoT in marine insurance by a large number of industry players will boost market growth during the forecast period.
The market for cargo insurance has seen a marginally negative effect as a result of the COVID-19 pandemic. The demand for cargo insurance decreased due to the pandemic-related slowdown in global trade and supply chain disruptions. Due to a significant decrease in the amount of goods being transported, shipment delays, and cancellations, the pandemic disrupted the global supply chains. The need for cargo insurance was decreased during the pandemic as fewer goods were transported. The pandemic also forced many businesses to scale back operations or even temporarily cease operations, which decreased the demand for cargo insurance. The COVID-19 pandemic significantly reduced commercial and maritime activities.
The key players profiled in this report include Allianz, AXA, Aon PLC, American International Group Inc, Arthur J. Gallagher & Co., Chubb, Lloyd's, Marsh LLC, Zurich Insurance Group Ltd, and Lockton Companies. The market players are continuously striving to achieve a dominant position in this competitive market using strategies such as collaborations and acquisitions.
Key Benefits For StakeholdersThis report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the cargo insurance market analysis from 2022 to 2032 to identify the prevailing cargo insurance market opportunities.
The market research is offered along with information related to key drivers, restraints, and opportunities.
Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
In-depth analysis of the cargo insurance market segmentation assists to determine the prevailing market opportunities.
Major countries in each region are mapped according to their revenue contribution to the global market.
Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
The report includes the analysis of the regional as well as global cargo insurance market trends, key players, market segments, application areas, and market growth strategies.
Key Market SegmentsBy End UserTraders
Cargo Owners
Ship Owners
Others
By Insurance TypeAir Cargo
Land Cargo
Marine Cargo
By Distribution ChannelDirect Sales
Indirect Sales
By RegionNorth America
U.S.
Canada
Mexico
Europe
Germany
UK
France
Italy
Netherlands
Rest of Europe
Asia-Pacific
China
Japan
India
Singapore
Australia
Rest of Asia-Pacific
LAMEA
Brazil
United Arab Emirates
Saudi Arabia
South Africa
Rest of LAMEA
Key Market Players
Allianz SE
American International Group, Inc.
Aon plc.
Arthur J. Gallagher & Co.
AXA
Chubb
Lloyd’s
Lockton Companies, LLC
MARSH LLC.
Zurich Insurance Group Ltd
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