Microinsurance Global Market Report 2024
Dublin, March 06, 2024 (GLOBE NEWSWIRE) -- The "Microinsurance Global Market Report 2024" report has been added to * ResearchAndMarkets.com's* offering.
The microinsurance market size is expected to see strong growth in the next few years. It will grow to $126.39 billion in 2028 at a compound annual growth rate (CAGR) of 7.2%. The anticipated expansion during the forecast period is driven by factors such as health pandemics and associated risks, governmental social protection initiatives, advancements in rural and agricultural development, regulatory incentives, and initiatives aimed at fostering inclusion. Key trends expected in the forecast period encompass digital transformation and insurtech, collaborative ventures with fintech and telecom entities, the adoption of parametric insurance solutions, the rise of pay-per-use and on-demand insurance models, and the integration of blockchain for enhanced transparency and trust.
The anticipated surge in government initiatives dedicated to microinsurance is poised to significantly boost the microinsurance market's growth trajectory. These initiatives are focused efforts by governing bodies to introduce programs or policies that cater to specific needs and goals, particularly addressing the requirements of economically vulnerable populations and small-scale enterprises. An illustrative example occurred in October 2022 when the UN Capital Development Fund (UNCDF) introduced a microinsurance product in Vanuatu. Tailored to safeguard climate-vulnerable communities from the financial fallout of severe weather events, this initiative aimed at swiftly providing relief funds within 10-14 days post-disaster. Its primary beneficiaries included smallholder farmers, fishers, micro, small, and medium-sized enterprises (MSMEs), as well as individuals with disabilities. Hence, the proliferation of government initiatives dedicated to microinsurance is expected to propel the market.
The escalating necessity for micro-insurance solutions among end-users, particularly micro-enterprises and small enterprises, is predicted to significantly drive the expansion of the microinsurance market. Enterprises falling under these categories often grapple with various risks, including natural calamities, unforeseen market fluctuations, and accidents. Microinsurance emerges as a critical safety measure, offering coverage for the expenses associated with these risks, thereby mitigating financial vulnerabilities. As per the World Bank and International Finance Corporation (IFC) estimates in 2023, approximately 65 million firms and about 40% of formal micro, small, and medium-sized enterprises (MSMEs) in developing nations require an annual financial support of $5.2 trillion. This staggering amount stands at 1.4 times the current global MSME lending level, underscoring the pressing demand for micro-insurance solutions among these entities. Therefore, the rising demand for micro-insurance among micro-enterprises and small enterprises significantly fuels the microinsurance market.
For more information about this report visit https://www.researchandmarkets.com/r/dg55he
*About ResearchAndMarkets.com*
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
CONTACT:
CONTACT: ResearchAndMarkets.com
Laura Wood,Senior Press Manager
press@researchandmarkets.com
For E.S.T Office Hours Call 1-917-300-0470
For U.S./ CAN Toll Free Call 1-800-526-8630
For GMT Office Hours Call +353-1-416-8900