Usage-Based Car Insurance Market Set to Boom, Driven by Telematics Tracking Individual Driving
• Global usage-based insurance market to grow at a 22% CAGR from $30 billion in 2023 to $219.13 billion in 2033 due to telematics technology tracking individual driving habits and allowing dynamic risk assessment.
• North America to dominate the market due to well-established insurance industry, consumer awareness, strong telematics infrastructure, and regulatory landscape favoring UBI.
• Pay-as-you-drive (PAYD) segment made up 42% market share in 2023 at $12.6 billion revenue.
• Smartphone segment held 47% market share in 2023 with $14.1 billion revenue.
• Passenger vehicle segment accounted for 68% market share in 2023 with $20.4 billion revenue.