Europe Mobile Insurance Market Overview
The Europe mobile insurance market is thriving on the back of the ongoing trend of mergers and acquisitions between stakeholders and the growing strategic movements adopted by players in the mobile insurance industry, coupled with the growing customization in the insurance policies, such as better support terms of services that include data protection, recovery features and other extensive technical support, and the increasing transformation observed in the mobile insurance market to digital-first business models are some of the factors anticipated to promote towards the growth of the Europe mobile insurance market. Additionally, the market is also thriving on the back of the growing number of incidents of accidental damage, device malfunction and thefts among others.
The Europe mobile insurance market registered a value of USD 6030.0 million in the year 2018 and is expected to reach a value of USD 10254.2 million in the year 2028 by growing with a CAGR of 6.16% during the forecast period. Additionally, the market is anticipated to gain an incremental $ opportunity of USD 112.3 million in the year 2020 as compared to the previous year. On the other hand, the market is also anticipated to grow by 1.61x and gain an absolute $ opportunity of USD 3896.9 million during the forecast period.
Market Segmentation Synopsis
By Providers
The Europe mobile insurance market has been segmented by providers into retailers, device OEMs, mobile operators and online. The retailers segment registered the largest market share of 41.20% in the year 2018 and is expected to garner a CAGR of 6.29% throughout the forecast period and further cross a value of USD 4276.0 million by the end of 2028. Additionally, the segment is also anticipated to gain an incremental $ opportunity of USD 49.6 million in the year 2020 as compared to the previous year and further grow by 1.63x and gain an absolute $ opportunity of USD 1650.4 million during the forecast period. CLICK TO DOWNLOAD SAMPLE REPORT
Market Drivers and Challenges
Growth Indicators
Rising Number of Mobile Subscribers and Rising Criminal Activities
Significant mobile subscribers base along with the growing purchase of expensive mobile phones across Europe is anticipated to boost the growth of mobile insurance market in the region. According to GSM Association, in 2017, there were over 465 million unique mobile subscribers in the region which is equivalent to over 85% of the population of Europe. Mobile insurance provides protections from several risks such as damage, theft and malfunction among others. Europe has witnessed remarkable rise in smartphone adoption over the years and with this, the mobile industry is expected to witness significant growth of mobile insurance policies offered by various network operators, insurance companies, smartphone manufacturers and retailers across the region. This growing use of smartphones across Europe is driving the mobile insurance market in recent times. Substantial rise in the number of smartphone crime is also expected to surge the demand for mobile phone insurance policies in the region. There is a rise in street crime, involvement of organized crime at different levels and trafficking of stolen mobile devices for resale purpose. This growing prevalence of crime such as theft & robbery of mobile phones is expected to drive the demand for mobile insurance policies. Furthermore, rising internet penetration in Europe is anticipated to drive customer to purchase mobile phones through the internet. Thus, several major companies such as Google and Amazon have started offering mobile insurance along with the purchase of the mobile phone. Such factors are anticipated to drive the growth of the Europe mobile insurance market.
Barriers
Depreciating Market Value of Old Mobile Phones
Most consumers in the recent era are likely to replace their smartphones in over two years on an average. This depreciating market value of old smartphones is expected to bring insurance companies face to face with moral hazard. Though, the mobile phone insurance companies offer policies over refurbished phones, but their adoption rate and cost are relatively low as compared to policies for new phones. Such a factor is anticipated to act as a barrier to the growth of the Europe mobile insurance market.
Top Featured Companies Dominating the Market
Some of the affluent industry leaders in the Europe mobile insurance market are Asurion Europe Limited, Assurant, Inc., AmTrust Europe Limited, AT&T Inc., Brightstar Corp., Revolut Technologies Inc. and Vodafone Group plc.
