PUBLISHER: Global Industry Analysts, Inc. | PRODUCT CODE: 1753364
PUBLISHER: Global Industry Analysts, Inc. | PRODUCT CODE: 1753364
Global B2B2C Insurance Market to Reach US$9.2 Billion by 2030
The global market for B2B2C Insurance estimated at US$5.5 Billion in the year 2024, is expected to reach US$9.2 Billion by 2030, growing at a CAGR of 8.9% over the analysis period 2024-2030. Life Insurance, one of the segments analyzed in the report, is expected to record a 10.3% CAGR and reach US$6.6 Billion by the end of the analysis period. Growth in the Non-Life Insurance segment is estimated at 5.8% CAGR over the analysis period.
The U.S. Market is Estimated at US$1.5 Billion While China is Forecast to Grow at 14.1% CAGR
The B2B2C Insurance market in the U.S. is estimated at US$1.5 Billion in the year 2024. China, the world's second largest economy, is forecast to reach a projected market size of US$2.0 Billion by the year 2030 trailing a CAGR of 14.1% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 4.4% and 8.6% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 6.0% CAGR.
Global B2B2C Insurance Market - Key Trends & Drivers Summarized
Why Is the B2B2C Insurance Model Disrupting Traditional Insurance Distribution?
The B2B2C (Business-to-Business-to-Consumer) insurance model is redefining how insurance products are delivered and consumed, breaking away from traditional agent-based distribution by embedding coverage into broader consumer ecosystems. In this model, insurers partner with third-party businesses-such as retailers, e-commerce platforms, fintechs, automakers, telecom companies, and travel agencies-to offer insurance products directly to end consumers at the point of sale or service. This embedded approach enables seamless, context-relevant insurance offerings that are tightly integrated into everyday purchases or experiences. For example, purchasing a smartphone might come bundled with device protection coverage, or booking a flight might include optional travel insurance, all powered by a behind-the-scenes insurer. This not only simplifies the customer journey but also increases conversion rates, as the insurance is presented at the moment of need with minimal friction. Moreover, the B2B2C model allows insurers to access large customer bases without incurring high customer acquisition costs, while distribution partners benefit from added revenue streams and enhanced customer loyalty. By blending the agility of digital platforms with the security of traditional underwriting, B2B2C insurance is disrupting legacy models and positioning itself as a vital strategy for insurers looking to scale and stay relevant in an increasingly digital economy.
How Are Digital Platforms and APIs Powering the Growth of B2B2C Insurance?
Digital technology is the backbone of the B2B2C insurance model, enabling real-time product integration, customization, and scalability across diverse ecosystems. APIs (Application Programming Interfaces) are particularly crucial, allowing insurers to embed their services directly into partner platforms-whether it's an e-commerce checkout page, a banking app, or a car dealership CRM. This API-driven integration facilitates automated underwriting, real-time pricing, seamless policy issuance, and instant claims processing, all while keeping the user experience smooth and consistent. Insurers can now offer microinsurance, parametric policies, and pay-as-you-go models, dynamically adjusting based on user behavior, purchase history, or geolocation data provided by the platform partner. Data analytics and AI also play a significant role, enabling insurers to personalize offers, assess risks more accurately, and identify the most opportune moments to engage customers. For distribution partners, embedded insurance via APIs creates an opportunity to offer added value without having to manage the complexities of insurance regulation or claims servicing. The speed and flexibility afforded by these digital tools are helping insurers move away from static, one-size-fits-all policies and toward dynamic, modular products tailored to each customer journey. As digital transformation accelerates across industries, the B2B2C insurance model, powered by APIs and cloud-based architectures, is unlocking new revenue channels and redefining the future of insurance distribution.
Why Is Demand for B2B2C Insurance Surging Across Key Consumer-Centric Sectors?
The surge in demand for B2B2C insurance is closely tied to evolving consumer behavior, rising digital commerce, and the need for contextual, value-added services across multiple industries. In retail and e-commerce, embedded insurance is being used to protect purchases-ranging from electronics and apparel to furniture-giving consumers peace of mind while creating loyalty for the retailer. In the automotive industry, B2B2C models are driving the adoption of bundled insurance with vehicle sales, leasing contracts, or ride-sharing platforms, offering coverage for drivers, passengers, and vehicles alike. In the travel and hospitality sector, booking platforms are increasingly integrating trip protection, cancellation coverage, and medical travel insurance into their customer workflows. The financial services industry is another significant growth area, with banks, fintechs, and digital wallets offering insurance products such as credit protection, cyber insurance, and health microinsurance as part of their value proposition. Mobile network operators and device manufacturers are tapping into B2B2C insurance to provide mobile phone insurance and extended warranties. These partnerships allow insurers to tap into highly engaged user bases while the distribution partners benefit from higher retention and ancillary revenues. The model’s scalability and relevance to consumer needs are prompting its adoption in developing and developed markets alike, especially where insurance penetration remains low but mobile and internet usage is high. As convenience and personalization become defining traits of customer experience, the demand for frictionless, embedded insurance offerings is expected to keep rising across every consumer-facing industry.
What Forces Are Driving the Continued Growth of the B2B2C Insurance Market Worldwide?
The growth in the global B2B2C insurance market is driven by a convergence of technological, strategic, demographic, and behavioral factors reshaping how insurance is bought and sold. One of the primary drivers is the shift in consumer expectations-modern customers value convenience, speed, and personalization, all of which the B2B2C model is designed to deliver through embedded, just-in-time offerings. The proliferation of digital platforms and e-commerce ecosystems provides insurers with expansive and ready-made distribution networks, significantly lowering customer acquisition costs and improving access to untapped market segments. Additionally, the rise of gig economy platforms, digital nomadism, and short-term service consumption is encouraging insurers to develop flexible, bite-sized insurance products that fit seamlessly into everyday transactions. Regulatory shifts in favor of open finance and digital onboarding-particularly in Asia and Europe-are also making it easier for insurers and third-party platforms to collaborate in compliant and scalable ways. Strategic alliances between insurtechs, traditional carriers, and ecosystem partners are accelerating product innovation and geographic reach. Meanwhile, increased venture capital funding in the embedded insurance space is fueling R&D and expansion efforts. Moreover, insurers are leveraging real-time data analytics to create usage-based and risk-adjusted pricing models that deliver better value for consumers while improving loss ratios for providers. These forces-combined with the rising financial inclusion in emerging markets and the need for diversified revenue models in competitive industries-are ensuring that the B2B2C insurance market continues to evolve as a dominant force in the global insurance ecosystem.
SCOPE OF STUDY:
The report analyzes the B2B2C Insurance market in terms of units by the following Segments, and Geographic Regions/Countries:
Segments:
Insurance (Life Insurance, Non-Life Insurance); Organization Size (Large Enterprises, SMEs); Deployment (Online Deployment, Offline Deployment)
Geographic Regions/Countries:
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.
Select Competitors (Total 39 Featured) -
AI INTEGRATIONS
We're transforming market and competitive intelligence with validated expert content and AI tools.
Instead of following the general norm of querying LLMs and Industry-specific SLMs, we built repositories of content curated from domain experts worldwide including video transcripts, blogs, search engines research, and massive amounts of enterprise, product/service, and market data.
TARIFF IMPACT FACTOR
Our new release incorporates impact of tariffs on geographical markets as we predict a shift in competitiveness of companies based on HQ country, manufacturing base, exports and imports (finished goods and OEM). This intricate and multifaceted market reality will impact competitors by increasing the Cost of Goods Sold (COGS), reducing profitability, reconfiguring supply chains, amongst other micro and macro market dynamics.