Kathmandu. The global insurance third-party administrator (TPA) market is projected to more than double over the next decade.
According to a report by Allied Market Research, the TPA market is valued at $324.9 billion in 2022. The market is projected to reach $795.1 billion by 2032. It will continue to grow at a compound annual growth rate of 9.6 percent.
The Asia-Pacific region is expected to experience significant growth by 2032, driven by economic expansion, a growing middle class, and rising demand for insurance products, the report said. North America led this market in 2022, supported by high healthcare costs and strong demand for claims management services.
Increasing demand for health insurance, increasing use of outsourcing in claims processing, and increasing pressure for efficiency and transparency in the insurance sector are driving this growth. TPAs provide services such as claims and policy management. TPAs act as intermediaries between the insurer and the insured to facilitate claim payment.
