China Insur Tech Market Size & Share, by Component {Software, Services (Consulting, Support & Maintenance, Managed)}; Product (Auto, Business, Health, Home, Life, Travel); Technology (Blockchain, Cloud Computing, IoT, Big Data & Machine Learning, Robo Advisory); End-user (Automotive, BFSI, Government, Healthcare, Manufacturing, Retail, Transportation) - Supply & Demand Analysis, Growth Forecasts, Statistics Report 2031

China InsurTech Market Size, Forecast, and Trend Highlights Over 2021 - 2031

The China insurtech market is estimated to garner a revenue of USD 4,760.0 Billion by the end of 2031 by growing at a CAGR of 36.88% over the forecast period, i.e., 2022-2031. Further, the market generated a revenue of USD 211.7 Billion in the year 2021. The growth of the market can be attributed to growing insurtech awareness and rising adoption of digitalization among insurance company. For instance, China's insurance sector has adopted some of the digital transformation strategies used by overseas businesses like Allianz in order to accomplish the aim of becoming "fully digital."

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Digital technology is used to understand customer wants, which is then used to improve offers based on shifting customer needs. Moreover, innovative InsurTech businesses is expected to boost the market growth over the forecast period. For instance, Dowsure is the first domestic online insurance platform created specifically for international e-commerce. This six-year-old startup introduced a number of inclusive financial products, including TrustSure, LogiSure, CreditSure, BondSure, SellSure, and BuySure, with the goal of better insulating and protecting sellers from risks and losses. These products were made possible by leveraging the startup's expertise in big data, machine learning, and blockchain.

China InsurTech Market: Growth Drivers and Challenges

Growth Drivers

• Increasing Use of Smartphones- It is estimated that more than 160 million 5G devices were sold in 2020, making up roughly over 50% of all smartphone shipments.

Smartphone apps could assist insurance businesses in gathering information that was previously out of reach, such as usage and behaviour data. They could then use this information to enhance their risk assessments and develop new insurance product lines. Even with traditional insurance products, going digital will aid an insurance company's growth and competitiveness.

• High Investments in Digital Transformation- In order to expedite the development of everything from 5G wireless networks to artificial intelligence, the Chinese government, led by President Xi Jinping, announces it would invest an estimated USD 1 trillion over the course of six years into the local digital economy (AI).

• Rapid Growth in Internet User- It was estimated that China would have 989 million internet users by the end of 2020, according to statistics provided by the government's China Internet Network Information Center (CNNIC).

• Growing Traditional & Online Insurers - Online health insurance premium growth in China increased to approximate 18% in 2021 from the year before.

• Lower Insurance Premium Rates Which Leading a Rise in Policymaker- In comparison to the previous two years, China's average premium has reduced, according to the 2018 edition of Pacific Prime's Cost of Health Insurance report. From 2016 with approximate USD 10,880 and 2017 with about USD 10,690 to an about USD 9,63o, we have observed a little decrease in the premium in China.

Challenges

• Security Concerns
• Lack of Skilled Professionals in Insurance Companies
• Regulatory Restrictions

The quick development of insurtech also creates new open ports for cyber-attacks on businesses and users'/personal policyholders' data on financial transactions, banking, and policy specifics. Hence this factor is expected to restrain the growth of the market.

The China insurtech market is segmented and analysed for demand and supply by technology into blockchain, cloud computing, IoT, big data &machine learning, robo advisory, and others. Out of which, the big data & machine learning segment is anticipated to garner the largest revenue of USD 1,373.3 Billion by the end of 2031, up from a revenue of USD 65.9 Billion in the year 2021. However, the blockchain segment is anticipated to grow at a highest CAGR of 39.82% over the forecast period, backed by increasing adoption of blockchain technology in the region. In both the public and private sectors, blockchain-based solutions are proliferating. Further initiatives by Chinese government is expected to boost the demand for blockchain technology, further boosting the market for insurtech. For instance, the blockchain-based cross-border finance infrastructure put in place by the State Administration of Foreign Exchange ("SAFE") in March 2019 is one of the major initiatives started by the Chinese government.

Market Segmentation

Our in-depth analysis of the China insurtech market includes the following segments:

Key Companies Dominating the China InsurTechMarket

Our report has covered detailed company profiling comprising company overview, business strategies, key product offerings, financial performance, key performance indicators, risk analysis, recent developments, regional presence, and SWOT analysis among other notable indicators for competitive positioning. Some of the prominent industry leaders in the China insurtech market that are included in our report are China Pacific Insurance Co., Ping An Insurance (Group) Company of China, Ltd., People’s Insurance Company of China, Zhongan Insurance, Yi’an Property Insurance Co., Ltd., Pintec Technology Holdings Ltd.,China Continent Insurance, New China Life Insurance Co., Ltd., Huize Insurance Network All, and China Taiping Insurance (HK) Company Limited.