Insurance Analytics Market Size, Share, Growth Analysis, By Component(Solution and Service), By Deployment(On premise and Cloud) - Industry Forecast 2024-2031

Insurance Analytics Market size was valued at USD 10.65 billion in 2022 and is poised to grow from USD 11.92 billion in 2023 to USD 29.30 billion by 2031, at a CAGR of 11.9% during the forecast period (2024-2031). 

For the purpose of creating new products and improving existing ones, industry participants increase their R&D spending. In order to improve their position in the market, businesses are also implementing methods like mergers and acquisitions, concordances, and partnerships. By making the acquisition, the former business was able to increase its market share. 'IBM Corporation (United States)', 'Oracle Corporation (United States)', 'SAP SE (Germany)', 'SAS Institute Inc. (United States)', 'Verisk Analytics, Inc. (United States)', 'TIBCO Software Inc. (United States)', 'Salesforce.com, Inc. (United States)', 'Guidewire Software, Inc. (United States)', 'Microsoft Corporation (United States)', 'Accenture plc (Ireland)', 'Tableau Software (United States)', 'QlikTech International AB (Sweden)', 'MicroStrategy Incorporated (United States)', 'FICO (Fair Isaac Corporation) (United States)', 'Pegasystems Inc. (United States)', 'LexisNexis Risk Solutions (United States)', 'OpenText Corporation (Canada)', 'Cognizant Technology Solutions Corporation (United States)', 'Deloitte Touche Tohmatsu Limited (United States)', 'WNS Services (India)', 'ExlService Holdings, Inc. (United States)', 'Palantir Technologies Inc. (United States)'

Insurers are increasingly recognizing the value of data analytics in making informed decisions. By leveraging advanced analytics techniques, insurers can gain valuable insights into customer behavior, risk assessment, fraud detection, and pricing optimization. This demand for data-driven decision-making is driving the adoption of insurance analytics solutions.

Insurance companies are increasingly adopting advanced analytics techniques such as machine learning, artificial intelligence, natural language processing, and predictive modelling. These techniques enable insurers to extract insights from large volumes of data, automate processes, and make data-driven decisions. The adoption of advanced analytics is driving the transformation of traditional insurance operations and enhancing customer experience.

During the projection period, North America is expected to increase at a CAGR of 13%, contributing the most revenue. Aiming to decrease possible hazards for policyholders, insurers are adopting analytical techniques to provide early insights. Furthermore, in order to produce correct results for decision-making, these sophisticated analytical tools necessitate thorough processing and intensive data investigation. Because of these reasons, the market in the area is growing quickly. Additionally, the market for insurance analytics is expected to increase significantly as a result of technical developments and investments in advanced analytics in the insurance industry. In North America, however, there is a chance for the insurance analytics business to expand due to national and regional rules that regulate insurers and general data use.