Insurance Analytics Market

Global Insurance Analytics Market Size

The global insurance analytics market was worth USD 11.46 billion in 2024. The global market size is expected to progress from USD 12.89 billion in 2025 to USD 33.08 billion by 2033 at an expansion rate (CAGR) of 12.5% during the forecast period.

Nowadays, with increasing digitization and insurance activities, a lot of information is being generated worldwide. As a result, data analysis plays a crucial role in the insurance industry for generating customer behavior and predicting the need for various insurance products. The use of insurance analytics has limited manual work to identify complex claims. Insurance analytics has managed to eliminate the overall customer handling time, costs, and the number of fraud cases, and enabled the market to grow healthily. On the contrary, insurance analytics is affected by several regulatory laws and policies, limiting this market's growth.

MARKET TRENDS

Insurance companies are implementing analytics solutions to provide various discounts and proactive risk management services. With these technologies, companies understand customers' lifestyles and develop personalized packages to meet their requirements. For example, if a consumer's travel plans are known, enterprises can provide options like personalized travel coverage in terms of travel insurance. Insurers can also send automated messages to inform drivers to take alternative routes during bad weather conditions or road repairs, improving the overall experience.

Third-party administrators (TPAs) act as a medium between insurers and customers to offer features like general liability, water damage, restoration, automobile, property and casualty, product and professional liability, and others. Insurance analytics solutions deliver easy access to TPAs, agents, and brokers to existing data, obtain actionable intelligence, and offer consumers tailored service and insurers the option to perform higher-value work.

MARKET DRIVERS AND RESTRAINTS

The increase in e-commerce activities around the world is increasing the number of user engagements on digital platforms. Businesses' growing interest in obtaining information through public engagement has led to increased adoption of insurance analytics in several industries. However, security and privacy concerns related to public viewing data and the complexity of analytical workflows are important factors that are expected to act as bottlenecks in market growth during the forecast period.

REPORT COVERAGE

REGIONAL ANALYSIS

The Global Insurance Analytics Market is analysed based on region in North America, Europe, Asia Pacific, and LAMEA. North America is the leading area in this business because of the presence of leading providers and high adoption of advanced technologies in various end-user verticals.

KEY MARKET PLAYERS

The insurance analysis ecosystem includes service providers, such as comScore (USA), Adobe (USA), Oracle (USA), IBM (USA), Google (USA), Unifi Software (USA), SAS (USA), Akamai (USA), Cxense (Norway), NetBase Solutions (USA), Cadreon (USA), Socialbakers (Czech Republic), Crimson Hexagon (USA), Quividi (France), 3DiVi (USA), Flytxt (Netherlands), Telmar (USA), StoryFit (USA), Brandchats (Spain), Verto Analytics (United States), AnalyticOwl (United States), Verimatrix (United States), Brandwatch (United Kingdom), Sightcorp (Netherlands) and Lotame Solutions (United States). Other stakeholders in the insurance analytics market include cloud service providers (CSPs), government agencies, independent software vendors (ISVs), consulting firms, systems integrators, and managed service providers (MSPs).

RECENT MARKET HAPPENINGS

• SAP launched its SAP Business Integrity Screening during February 2018 to limit financial risk within business activities by identifying threatful transactions and patterns to control potential frauds.
• Verisk Analytics in January 2018 implemented and introduced a new flood insurance program through its ISO business to offer coverage from floods to homeowners in the US. The ISO personal lines flood program will allow the market players to be a part of private flood insurance market to provide extensive and flexible coverage options, which is already familiar to most of the users in this area.
• Sapiens International completed the purchase of Adaptik in February 2018. Adaptik is based in Bethlehem and offers core insurance software to the P&C clients. This purchase is likely to strengthen Sapiens' market share altogether.
• Tableau Software developed and launched Hyper, a new data engine during January 2018 to provide exceptional analytics. In addition to existing distinct features, Tableau 10.5 with Hyper offers almost 5X faster query speed and 3X faster extract creation speed to its consumers.

MARKET SEGMENTATION

The global insurance analytics market is segmented based on components, company size, application, industry vertical, and region.

By Component                

• Solution    
• Services    

By Application                  

• Claims Management           
• Risk Management
• Customer Management and Personalization           
• Process Optimization          

By Deployment Mode                  

• On-Premises          
• Cloud         

By Organization Size                      

• SMEs         
• Large Enterprises 

By End-User                      

• Travel & Hospitality             
• Media & Entertainment    
• Retail & Consumer Goods
• Telecommunications & IT 
• Health & Life Sciences        
• Government & Public Sector           
• BFSI            

By Region

• North America
• Europe
• Asia-Pacific
• Latin America
• The Middle East and Africa