PUBLISHER: Fortune Business Insights Pvt. Ltd. | PRODUCT CODE: 1884073
PUBLISHER: Fortune Business Insights Pvt. Ltd. | PRODUCT CODE: 1884073
The global insurance brokerage market continues to expand rapidly as demographic shifts, digital transformation, and rising insurance awareness reshape consumer and business behavior. The market was valued at USD 114.89 billion in 2024, is projected to reach USD 125.36 billion in 2025, and is expected to surge to USD 236.14 billion by 2032, reflecting a strong CAGR of 9.5% throughout the forecast period. North America, with a dominant 37.24% share in 2024, leads due to advanced insurance ecosystems, rising cyber risks, and accelerating adoption of digital brokerage platforms.
Insurance brokerage acts as an intermediary between customers and insurance carriers, offering unbiased advisory services across life, health, property, commercial, and cyber insurance products. Unlike agents who represent specific insurers, brokers operate independently, focusing solely on client needs. Global leaders such as Marsh & McLennan, Aon, and Willis Towers Watson leverage analytics, expanded product portfolios, and advisory-driven models to strengthen competitiveness across international markets.
Market Dynamics
Market Drivers
One of the most influential drivers is the growing population and aging demographics, particularly in developed countries. An aging population increases demand for life, health, and retirement insurance, pushing individuals to seek expert guidance for complex policy structures. According to the UN World Population Prospects 2024, the global population is expected to reach 8.5 billion by 2030, expanding the customer base for insurance brokers. Rising awareness of financial planning, growing SME activity, and evolving insurance regulations also support market growth.
Market Restraints
Despite strong momentum, reliance on traditional insurance agents continues to limit scalability and digital adoption. Regions such as parts of Southeast Asia and India still require manual policy approvals, slowing the onboarding process. Such dependence restricts brokers from providing instant, digitally streamlined experiences-putting them at a disadvantage in markets where InsurTech adoption is accelerating.
Market Opportunities
Rising insurance awareness among consumers and businesses presents significant opportunities. Growing demand for cyber insurance, driven by rising digital threats, encourages organizations to engage brokers for more specialized solutions. The emergence of tech-driven platforms such as Lemonade demonstrates how transparent digital insurance is reshaping consumer expectations. Regulatory initiatives like the U.S. Affordable Care Act further push individuals toward brokers for compliance and policy selection.
Market Trends
A major trend influencing the market is the surge in automobile adoption, increasing demand for auto and commercial vehicle insurance. Embedding insurance within automotive sales channels is becoming common. According to SIAM, India's automotive market recorded 12.5% growth in FY2023, while U.S. vehicle sales reached 1.47 million units in 2024, rising 1.4% year-over-year. This steady growth directly boosts brokerage activity.
Another transformative trend is the rising adoption of Generative AI, enabling hyper-personalized policy recommendations. For example, in 2024, Lemonade began using Gen-AI for instant pricing adjustments and custom policy design, signaling the future direction of brokerage automation.
Segmental Analysis
By Broker Type
The retail brokerage segment dominated 2024 due to high demand for health, life, motor, and home insurance. Increased financial literacy and digital adoption, particularly across India's Tier-3 cities, accelerated retail broker engagement.
The reinsurance brokerage segment is expected to grow fastest, driven by climate risks, cyber incidents, and capital management needs.
By Insurance Type
The life and health insurance segment led in 2024, supported by premium financing options and fintech partnerships enabling affordable EMIs. Cyber insurance is expected to grow at the highest rate as cybercrime escalates globally.
By Distribution Channel
The offline channel held the largest share in 2024 as consumers preferred face-to-face consultations for complex policies. The online segment, however, will grow fastest as digital comparison tools and embedded insurance platforms gain popularity.
By End User
The B2C segment dominated 2024 due to rising digital platforms enabling easy policy comparison. The B2B segment will expand rapidly as businesses seek specialized risk advisory services in regulatory-heavy environments.
North America - USD 42.79 Billion (2024)
North America leads due to high penetration of digital insurance tools, expansion of cyber risk advisory services, and strong demand for personalized coverage across personal and commercial segments.
Europe
Europe grows steadily owing to increased interest in ESG-linked insurance, cyber coverage, and SME-focused brokerage solutions.
Asia Pacific
Expected to grow at the highest CAGR, driven by rising populations, low insurance penetration, and expanding InsurTech adoption across India, China, and Indonesia.
Middle East & Africa
Growth is fueled by rising insurance awareness, health coverage mandates, and initiatives such as Saudi Vision 2030.
South America
Recovery in economic conditions and climate risk management increases demand for insurance and brokerage services.
Conclusion
With strong growth from USD 114.89 billion in 2024 to USD 125.36 billion in 2025, and a projected USD 236.14 billion by 2032, the insurance brokerage market is positioned for sustained expansion. Digital transformation, regulatory shifts, rising cyber risks, and evolving consumer expectations will continue reshaping global brokerage dynamics through 2032.
Segmentation By Broker Type
By Insurance Type
By Distribution Channel
By End User
By Region
Companies Profiled in the Report * Marsh & McLennan Companies (U.S.)