Kathmandu. The global mobile phone insurance market is projected to grow at a compound annual growth rate of 11.8% from 2021 to 2030. Asia Pacific is the fastest growing region.
North America led the market in 2020. 60% of consumers preferred mobile phone insurance and 62% actively used it.
According to Allied Market Research, higher maintenance costs, promotional offerings and improved customer experience have contributed to the increase in demand for mobile phone insurance in the Asia Pacific region. In 2020, the global mobile phone insurance market was valued at $24.6 billion. It is expected to reach $74.5 billion by 2030.
The growth of this insurance market is being driven by increased incidence due to accidental damage, theft, malware attacks, equipment malfunctions and the rising maintenance costs of modern smartphones. Declining mobile phone sales are seen as major hurdles. While the demand for innovative coverage products has presented future opportunities.
Premium smartphones had the largest market share in 2020 in terms of phone types. The high risk and cost of damage to these devices have supported the demand.
The middle and high smartphone segment is expected to register the fastest growth due to rising global usage and declining device prices. Which is prompting insurance companies to design customized coverage plans.
