PUBLISHER: Global Industry Analysts, Inc. | PRODUCT CODE: 1777630
PUBLISHER: Global Industry Analysts, Inc. | PRODUCT CODE: 1777630
Global Trade Credit Insurance Market to Reach US$19.8 Billion by 2030
The global market for Trade Credit Insurance estimated at US$11.4 Billion in the year 2024, is expected to reach US$19.8 Billion by 2030, growing at a CAGR of 9.6% over the analysis period 2024-2030. Whole Turnover Coverage, one of the segments analyzed in the report, is expected to record a 8.2% CAGR and reach US$12.5 Billion by the end of the analysis period. Growth in the Single Buyer Coverage segment is estimated at 12.3% CAGR over the analysis period.
The U.S. Market is Estimated at US$3.1 Billion While China is Forecast to Grow at 12.9% CAGR
The Trade Credit Insurance market in the U.S. is estimated at US$3.1 Billion in the year 2024. China, the world's second largest economy, is forecast to reach a projected market size of US$4.0 Billion by the year 2030 trailing a CAGR of 12.9% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 7.0% and 8.3% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 7.5% CAGR.
Trade Credit Insurance Market Trends & Drivers Summarized
How Is Trade Credit Insurance Becoming a Vital Risk Management Tool in Global Commerce?
Trade credit insurance (TCI) is gaining prominence as businesses seek protection against non-payment risks in an increasingly uncertain global economic landscape. This insurance product safeguards companies from financial losses when customers default on payments due to insolvency, political risks, or economic downturns. With supply chain disruptions, inflationary pressures, and fluctuating market conditions, businesses are relying more on TCI to maintain cash flow stability and mitigate credit risks. The rise of digital trade, cross-border transactions, and e-commerce has further expanded the need for real-time credit risk assessment. However, challenges such as premium costs, underwriting complexities, and fluctuating global trade conditions continue to shape the market dynamics. As businesses navigate economic volatility, how will technological innovations and data-driven risk assessment tools redefine the future of trade credit insurance?
What Technological Innovations Are Advancing Trade Credit Insurance?
AI-driven credit scoring models, blockchain-based smart contracts, and predictive analytics are transforming trade credit insurance underwriting. Insurtech solutions are enabling real-time risk assessments, reducing claim processing times, and enhancing transparency in trade transactions. AI-powered risk modeling is allowing insurers to assess market trends and adjust coverage dynamically. Additionally, embedded insurance solutions are being integrated into supply chain financing platforms, providing seamless risk mitigation for businesses engaged in global trade.
Why Is the Demand for Trade Credit Insurance Increasing?
The growing unpredictability of global markets, increasing instances of corporate insolvency, and the expansion of international trade are driving demand for TCI. Businesses are adopting credit insurance as a strategic tool to strengthen supply chain resilience, secure financing, and expand into new markets with reduced risk exposure. Additionally, the rising use of digital payment platforms is necessitating enhanced risk protection solutions for trade transactions.
What Factors Are Driving the Growth of the Trade Credit Insurance Market?
The market is expanding due to advancements in AI-based credit risk assessment, increasing adoption of insurtech solutions, rising global trade volumes, and growing corporate demand for financial risk mitigation. As businesses continue to face economic uncertainties, trade credit insurance is expected to become an essential tool for securing transactions and sustaining business growth.
SCOPE OF STUDY:
The report analyzes the Trade Credit Insurance market in terms of units by the following Segments, and Geographic Regions/Countries:
Segments:
Coverage (Whole Turnover Coverage, Single Buyer Coverage); Organization Size (Large Enterprises, SMEs); Application (Domestic, International); End-Use (Food & Beverages, IT & Telecom, Healthcare, Energy, Automotive, Others)
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.
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