Usage-based Insurance Market for ICE & Electric Vehicle 2018-2025 - Increasing Adoption of Telematics and Connected Cars

Tuesday, 04. December 2018 12:36

Dublin, Dec. 04, 2018 (GLOBE NEWSWIRE) -- The "Usage-based Insurance Market for ICE & Electric Vehicle by Package (PAYD, PHYD, MHYD), Technology (OBD-II, Smartphone, Embedded System, Black Box), Vehicle Age, Device Offering (BYOD, Company Provided) & Region - Global Forecast to 2025" report has been added to's offering.

The usage based insurance market is estimated to be USD 28.43 billion in 2018 and is projected to reach USD 95.81 billion by 2025, at a CAGR of 18.95% from 2018 to 2025.

The demand for usage-based insurance is driven by the reduction in insurance premiums as compared to regular insurance and risk-related cost and increasing vehicle sales and on-road vehicles. Ambiguity over regulations and legislative environments are acting as a restraining factor for the usage-based insurance market.

Embedded system is estimated to be the fastest growing market in usage-based insurance market by technology

Embedded systems refer to the inbuilt (embedded) telematics inside a vehicle. Embedded system is used to collect vehicle data and analyze the driver behaviour to calculate insurance premiums. Embedded telematics is very accurate at capturing vehicle data as it is an integrated part of the system and does not require external calibration to register data. This also helps reduce the initial cost as the user does not have to buy separate devices (OBD-II or black box) to avail usage-based insurance. The market for embedded system-based UBI is directly related to the market for connected cars with inbuilt telematics. The market for connected cars is proliferating, however, the major market is concentrated in North America and Europe.

Light-duty vehicle (LDV) market is estimated to have the largest market in usage-based insurance market by vehicle type

Light-duty vehicles constitute passenger cars and light commercial vehicles, and account for almost 96% of the total global vehicle sales in 2017, as per OICA. The adoption rate of UBI is higher in LDVs than it is in HDVs. LDVs can be easily fitted with OBD-II, black box or other devices to access the usage-based insurance plans. Additionally, LDVs are generally driven by a single person, hence UBI plans based on driver behaviour are more prominent for LDVs, while the same is not true for HDVs as they have multiple drivers.

Asia Oceania is estimated to be the fastest growing region in usage-based insurance market for automotive during the forecast period

The usage-based insurance market in Asia Oceania is in a very nascent stage in the present scenario. However, it is expected to be the fastest growing, in terms of value, because of the largest vehicle sales and on-road vehicles. The increased adoption rate of telematics and connected car services and huge vehicle sales and parc are fueling the usage-based insurance market in Asia Oceania. This region is expected to continue its dominance in vehicle sales in the coming years as compared to the other regions. China and Japan are expected to be the prominent markets for usage-based insurance in Asia Oceania region.

The usage-based insurance market consists of companies such as Progressive Corporation (US), Vodafone (UK), Allstate (US), Octo Telematics (UK), TomTom (Netherlands), Allianz (Germany), AXA (France), Liberty Mutual (US), Verizon (US), and Sierra Wireless (Canada).

Key Topics Covered:

1 Introduction
1.1 Objectives
1.2 Market Definition
1.3 Market Scope
1.4 Markets Covered
1.5 Currency and Pricing
1.6 Package Size
1.7 Limitations
1.8 Stakeholders

2 Research Methodology
2.1 Research Data
2.2 Secondary Data
2.3 Primary Data
2.4 Market Size Estimation
2.5 Market Breakdown & Data Triangulation
2.6 Assumptions

3 Executive Summary

4 Premium Insights
4.1 Attractive Opportunities in the Usage-based Insurance Market
4.2 Market, By Region
4.3 Market, By Package Type
4.4 Market, By Technology
4.5 Market, By Vehicle Type
4.6 Market, By Vehicle AGE
4.7 Market, By Device Offering
4.8 Market, By Electric & Hybrid Vehicle Type

5 Market Overview
5.1 Introduction
5.2 Market Dynamics
5.2.1 Drivers Increasing Adoption of Telematics and Connected Cars Telematics Connected Car Services Reduction in Insurance Premium and Risk-Related Costs Increasing Vehicle Sales and Parc
5.2.2 Restraints Ambiguity Over Regulations and Legislative Environments
5.2.3 Opportunities Automotive Usage-based Insurance Ecosystem
5.2.4 Challenges Data Privacy Lack of Standardized Systems

6 Technological Overview
6.1 Impact Analysis of Usage-based Insurance Market on the Automotive Ecosystem
6.2 Future of Market
6.2.1 Pay-Per-Mile
6.2.2 Try Before You Buy (TBYB)
6.2.3 Autonomous Vehicle
6.2.4 Usage-based Insurance for Ride-Hailing and Rentals
6.2.5 How the Insurance Policy Changes for Fleet Owners
6.2.6 AI and HMI in Transportation

7 Usage-based Insurance Market for Automotive, By Package Type
7.1 Introduction
7.2 Pay-As-You-Drive (PAYD)
7.3 Pay-How-You-Drive (PHYD)
7.4 Manage-How-You-Drive (MHYD)

8 Usage-based Insurance Market for Automotive, By Technology
8.1 Introduction
8.2 OBD-II
8.3 Smartphone
8.4 Embedded System
8.5 Black Box
8.6 Other Technologies

9 Usage-based Insurance Market for Automotive, By Vehicle Type
9.1 Introduction
9.2 Light-Duty Vehicle (LDV)
9.3 Heavy-Duty Vehicles (HDV)

10 Usage-based Insurance Market for Automotive, By Vehicle Age
10.1 Introduction
10.2 New Vehicles
10.3 On-Road Vehicles

11 Usage-based Insurance Market, By Device Offering
11.1 Introduction
11.2 Bring Your Own Device (BYOD)
11.3 Company Provided

12 Usage-based Insurance Market for Automotive, By Electric and Hybrid Vehicle
12.1 Introduction
12.2 Battery Electric Vehicle (BEV)
12.3 Hybrid Electric Vehicle (HEV)
12.4 Plug-In Hybrid Vehicle (PHEV)

13 Usage-based Insurance Market for Automotive, By Region
13.1 Introduction
13.2 Asia Oceania
13.2.1 China
13.2.2 Japan
13.2.3 South Korea
13.2.4 India
13.2.5 Rest of Asia Oceania
13.3 The Americas
13.3.1 US
13.3.2 Canada
13.3.3 Mexico
13.3.4 Brazil
13.3.5 Rest of Americas
13.4 Europe Middle East (EME)
13.4.1 Italy
13.4.2 UK
13.4.3 Germany
13.4.4 France
13.4.5 Spain
13.4.6 Russia
13.4.7 UAE
13.4.8 Rest of EME

14 Competitive Landscape
14.1 Overview
14.2 Automotive Usage-based Insurance Market: Market Share Analysis
14.3 Company-Wise Product Matrix
14.4 Competitive Scenario
14.4.1 Partnerships/Joint Ventures
14.4.2 New Product Launches/New Product Developments
14.4.3 Mergers & Acquisitions
14.4.4 Expansions

15 Company Profiles
(Business Overview, Products Offered, Recent Developments, and SWOT Analysis)*
15.1 Progressive Corporation
15.2 Vodafone
15.3 Allstate
15.4 Octo Telematics
15.5 Tomtom
15.6 Allianz
15.7 AXA
15.8 Liberty Mutual
15.9 Verizon
15.10 Sierra Wireless
15.11 Additional CPS
15.11.1 The Americas Modus Group Intelligent Mechatronic Systems Inseego Truemotion Cambridge Mobile Telematics Metromile Movitrack Viasat
15.11.2 Europe Middle East (EME) Insure the Box Mapfre The Floow Assicurazioni Generali Unipolsai Assicurazioni

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Related Topics: Automotive Insurance, Electric and Hybrid Vehicles


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