Global commercial property insurance prices rose by six percent in the fourth quarter of 2023. Prices have been steadily climbing since the second quarter of 2018, until the second quarter of 2024 when prices did not increase. Upon reaching the third quarter of 2024, prices decreased by two percent.

From 2017 to 2023, the global property insurance market grew by 32 percent. It is forecasted to grow by 14 percent between 2023 and 2028, reaching a total gross written premium of 770 billion U.S. dollars.

Explore the Commercial Property Insurance Market trends! Covers key players, growth rate 11.8% CAGR, market size $593.44 Billion, and forecasts to 2033. Get insights now!

The size and share of the market is categorized based on Application (Individual, Business) and Product (Car Insurance, Condo Insurance, Homeowners Insurance, Renters Insurance, Others) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

According to Cognitive Market Research, the global commercial property insurance market size will be USD 281546.2 million in 2024. It will expand at a compound annual growth rate (CAGR) of 9.7% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 112618.48 million in 2024 and will grow at a compound annual growth rate (CAGR) of 7.9% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 84463.86 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 64755.63 million in 2024 and will grow at a compound annual growth rate (CAGR) of 11.7% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 14077.31 million in 2024 and will grow at a compound annual growth rate (CAGR) of 9.1% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 5630.92 million in 2024 and will grow at a compound annual growth rate (CAGR) of 9.4% from 2024 to 2031.
The manufacturing held the highest commercial property insurance market revenue share in 2024.

Market Dynamics of Commercial Property Insurance Market

Key Drivers for Commercial Property Insurance Market

Growing Awareness among Businesses about the Risks of Property Damage to Increase the Demand Globally

The commercial property insurance market is expanding as businesses increasingly recognize the risks of property damage due to natural disasters, theft, and accidents. Growing awareness is driven by high-profile incidents and the rising costs associated with repairs and downtime. Companies are investing in comprehensive coverage to safeguard assets, minimize financial losses, and ensure business continuity. This trend is further supported by regulatory requirements and evolving risk management strategies, making commercial property insurance a crucial component of business resilience in today's volatile environment.

Growth in Commercial Real Estate Investments to Propel Market Growth

The commercial property insurance market is experiencing growth driven by increased investments in commercial real estate. As businesses expand and urbanization accelerates, demand for office spaces, retail centers, and industrial properties rises, leading to higher valuations and more properties requiring insurance coverage. This trend is further fueled by investor confidence in stable returns from commercial real estate. Insurers are responding by offering tailored policies that address evolving risks, including natural disasters and cyber threats, thereby supporting the overall market expansion.

Restraint Factor for the Commercial Property Insurance Market

Rising Premiums due to Increased Risks to Limit the Sales

The commercial property insurance market is experiencing rising premiums due to increased risks such as natural disasters, cyber threats, and inflation in construction costs. These factors elevate the potential for costly claims, pushing insurers to adjust rates upward. However, high premiums can restrain market growth as businesses may struggle to afford comprehensive coverage, leading to reduced demand or opting for lower coverage limits. This balancing act between rising risks and affordability challenges insurers to maintain profitability while ensuring clients' needs are met.

Impact of Covid-19 on the Commercial Property Insurance Market

The COVID-19 pandemic significantly impacted the commercial property insurance market. Businesses faced closures and operational disruptions, leading to increased claims for property damage and business interruption. Insurers experienced financial strain due to the surge in claims, prompting tighter underwriting practices and higher premiums. The pandemic also accelerated the adoption of digital solutions for risk assessment and claims processing. Additionally, the crisis highlighted the importance of comprehensive coverage for unforeseen events, prompting businesses to reassess their insurance needs and coverage gaps. Introduction of the Commercial Property Insurance Market

Commercial property insurance protects businesses against financial losses from damage or destruction of physical assets like buildings, equipment, and inventory due to events like fire, theft, or...

In 2020, the global market size of property insurance was worth 450 billion U.S. dollars. By 2040, this number is forecasted to increase by 806 billion U.S. dollars and reach approximately 1.2 trillion U.S. dollars.

The size and share of the market is categorized based on Application (Personal, Enterprise) and Product (Omeowners Insurance, Renters Insurance, Flood Insurance, Erthquake Insurance, Other) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

Global Property and Casualty Insurance Market's estimated size and share is projected to exceed USD 3,794.81 billion by 2032, with a forecasted CAGR of 8.3% during the period. Economic growth is a pivotal force propelling the expansion of the market trends.

Homeowners Insurance Market Outlook

The global homeowners insurance market is experiencing significant growth, with a market size valued at approximately USD 104.7 billion in 2023. The market is expected to reach USD 171.7 billion by 2032, growing at a compound annual growth rate (CAGR) of 5.7% during the forecast period. This growth is driven by several factors, including the increasing frequency of natural disasters, the rising value of residential properties, and the growing awareness among individuals about the importance of safeguarding their assets. These driving forces are reshaping the landscape of homeowners insurance, making it a critical component for financial planning in the coming years.

One of the primary growth factors for the homeowners insurance market is the escalating frequency of natural disasters worldwide. Events such as hurricanes, earthquakes, floods, and wildfires are becoming more common, prompting individuals to seek comprehensive insurance coverage to protect their homes and belongings. This trend is particularly pronounced in regions prone to such disasters, where insurance providers are witnessing a surge in demand for policies that offer robust protection against these unpredictable events. Consequently, insurers are innovating their product offerings, including coverage for climate change-related risks, thereby driving market growth.

Another significant factor contributing to market expansion is the rising value of residential real estate. As property prices escalate, homeowners are increasingly recognizing the need for adequate insurance coverage to protect their investments. This is particularly important in urban areas where real estate values are surging due to increased demand and limited supply. In response, insurance providers are offering tailored policies that cater to high-value homes and properties located in premium locations. This trend is not only boosting market growth but also encouraging the development of specialized insurance products that cater to the diverse needs of property owners.

The growing awareness and understanding of homeowners insurance among the general population are also playing a crucial role in market growth. Increasing access to information through digital platforms and awareness campaigns by insurers are educating consumers about the benefits and necessity of having homeowners insurance. This increased awareness is translating into higher policy adoption rates, particularly among younger homeowners and first-time buyers who are keen to protect their assets from unforeseen events. Additionally, technological advancements such as digital policy management and online claims processing are making insurance more accessible and user-friendly, further propelling market expansion.

Property Insurance plays a pivotal role in the broader homeowners insurance market, providing essential coverage that extends beyond just the physical structure of a home. It encompasses protection for personal property and assets within the home, offering a safety net against theft, damage, and unforeseen events. As the value of personal belongings increases, homeowners are increasingly seeking comprehensive property insurance policies that offer peace of mind and financial security. This trend is driving insurers to innovate and expand their offerings, ensuring that policyholders have access to tailored coverage that meets their unique needs. The integration of technology, such as smart home devices, is further enhancing the appeal of property insurance by enabling more accurate risk assessments and personalized policy options. This evolution in property insurance is a testament to the industry's commitment to adapting to consumer demands and providing robust protection in an ever-changing risk landscape.

Regionally, North America remains the largest market for homeowners insurance, driven by the high value of real estate and the prevalence of natural disasters. The United States, in particular, is a key market owing to its large housing market and the propensity for catastrophic weather events. Meanwhile, Europe is witnessing steady growth, supported by strong regulatory frameworks and the high penetration of insurance products. In the Asia Pacific region, rapid urbanization and rising disposable incomes are fueling demand for homeowners insurance, positioning this region as a lucrative market for future growth. The Middle East and Africa, although smaller in market size, are gradually embracing homeowners insurance as economic development and property investments increase.</p

In 2018, the property and casualty insurance market in North America generated 723 billion U.S. dollars in premiums. As for the size of the African market, it was valued at only 17 billion U.S. dollars. The size of the global property and casualty insurance market reached 1.6 trillion U.S. dollars in that year.

The Home Insurance Market is projected to grow at 8.2% CAGR, reaching $428.67 Billion by 2029. Where is the industry heading next? Get the sample report now!

The size and share of the market is categorized based on Application (Claims, Underwriting, Operations) and Product (Cloud-Based, On-Premise) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

Jilin: Property Insurance Company: Deposit & Investment from Insured data was reported at 31.310 RMB mn in 2022. This records a decrease from the previous number of 31.410 RMB mn for 2021. Jilin: Property Insurance Company: Deposit & Investment from Insured data is updated yearly, averaging 68.135 RMB mn from Dec 2001 (Median) to 2022, with 22 observations. The data reached an all-time high of 5,548.610 RMB mn in 2016 and a record low of 4.200 RMB mn in 2001. Jilin: Property Insurance Company: Deposit & Investment from Insured data remains active status in CEIC and is reported by National Financial Regulatory Administration. The data is categorized under China Premium Database’s Insurance Sector – Table CN.RGJ: Insurance Industry: Jilin.

United States Property & Casualty Insurance: Net Premiums Written data was reported at 712.847 USD bn in Sep 2024. This records an increase from the previous number of 468.281 USD bn for Jun 2024. United States Property & Casualty Insurance: Net Premiums Written data is updated quarterly, averaging 388.698 USD bn from Mar 2012 (Median) to Sep 2024, with 51 observations. The data reached an all-time high of 859.321 USD bn in Dec 2023 and a record low of 114.797 USD bn in Mar 2012. United States Property & Casualty Insurance: Net Premiums Written data remains active status in CEIC and is reported by National Association of Insurance Commissioners. The data is categorized under Global Database’s United States – Table US.RG012: Property & Casualty Insurance: Industry Financial Snapshots.

The Global Home Insurance Market Size Was Worth USD 234 Billion in 2023 and Is Expected To Reach USD 423 Billion by 2032, CAGR of 7.5%.

The global commercial property insurance market size reached USD 304.9 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 658.0 Billion by 2033, exhibiting a growth rate (CAGR) of 8.92% during 2025-2033. The increasing ownership of commercial properties, rising cases of natural disasters, thefts, and frauds, and the growing levels of digitalization in the insurance sector are some of the key factors propelling the market growth.

The size and share of the market is categorized based on Application (Small and Medium-sized Enterprises, Large-scale Enterprise) and Product (Omeowners Insurance, Renters Insurance, Erthquake Insurance, Other) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

Global Property And Casualty Insurance Market to hit USD 3068.61B by 2029 growing at 9.1% CAGR. Explore trends, drivers, and competition for strategic insights with The Business Research Company.

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Global Property Insurance in the Oil and Gas Sector is segmented by Application (Oil & Gas, Energy, Insurance, Risk Management, Industrial), Type (Liability, Oil spills, Environmental, Property damage, Asset protection) and Geography(North America, LATAM, West Europe, Central & Eastern Europe, Northern Europe, Southern Europe, East Asia, Southeast Asia, South Asia, Central Asia, Oceania, MEA)