How Has the Cargo Transportation Insurance Market Size Evolved in Recent Years?
The cargo transportation insurance market has seen considerable growth due to a variety of factors.
•In recent times, there has been a progressive enlargement in the size of the cargo transportation insurance market. The market value is estimated to increase from $56.81 billion in 2024 to $59.05 billion in 2025, corresponding to a compound annual growth rate (CAGR) of 3.9%.
Contributing factors for this growth during the historical period include the evolution of international trade and globalization, the broadening of the logistics and supply chain sector, a rise in cargo shipping activities, mandates for cargo insurance, and past cases of cargo loss or damaged cargo.
What are the Market Size and Expected Growth Rates for the Cargo Transportation Insurance Market?
The cargo transportation insurance market is expected to maintain its strong growth trajectory in upcoming years.
• In the coming years, a consistent growth is foreseen for the cargo transportation insurance market, which is predicted to reach $69.59 billion by 2029, exhibiting a compound annual growth rate (CAGR) of 4.2%.
The impending growth over the forecast period is attributed to the evolution of marine insurance methods, the boom of e-commerce and international trade, the implementation of sophisticated data analytics for risk management, rising demand for perishable goods transport, bespoke insurance solutions tailored to specific cargo types, and the increasing utilization of insurance based on the usage for cargo fleets. Notable trends during the forecast term include tech advancements in cargo monitoring and tracking, progress in risk appraisal and underwriting, incorporation of blockchain for clear and effective operations, sustainable and eco-friendly transport, integration of AI in claim processing, and partnerships between insurance providers and technology firms.
What Are The Essential Drivers Behind The Growth Of The Cargo Transportation Insurance Market?
The projected surge in marine transportation is anticipated to fuel the expansion of the cargo transportation insurance market. Generally referred to as maritime transportation, marine transportation involves transporting goods, individuals, and materials by water using a variety of vehicles, including vessels, yachts, and boats. This type of insurance covers marine cargo against losses or damages resulting from risks associated with sea or air transit, as well as ensuing land and inland water routes. For example, UN Trade and Development, a Switzerland-based Intergovernmental Organization, stated in November 2022 that a deceleration in maritime trade growth to 1.4% is expected for 2022. The forecasted annual average increase from 2023 to 2027 is 2.1%, which lags behind the average growth rate of 3.3% over the past thirty years. Consequently, the escalating marine transportation is spurring the progression of the cargo transportation insurance market.
How Is The Global Cargo Transportation Insurance Market Divided Into Key Segments?
The cargo transportation insurance market covered in this report is segmented –
1) By Type: Land Cargo Insurance, Air Cargo Insurance, Marine Cargo Insurance, Parcel Transportation Insurance
2) By Forms Of Transport: Sea Transport, Domestic Rail Transport, International Rail Transport, Domestic Road Transport, International Road Transport, Air Transport
3) By Policy Type: Open Cover Cargo Policy, Specific Cargo Policy, Contingency Insurance Policy
4) By Application: Logistics industry, Transportation industry, Insurance industry, Other Applications
Subsegments:
1) By Land Cargo Insurance: Trucking Cargo Insurance, Rail Cargo Insurance, Inland Transit Insurance
2) By Air Cargo Insurance: International Air Cargo Insurance, Domestic Air Cargo Insurance, Perishable Goods Air Cargo Insurance
3) By Marine Cargo Insurance: Ocean Freight Cargo Insurance, Inland Waterway Cargo Insurance, Bulk Goods Marine Cargo Insurance
4) By Parcel Transportation Insurance: Domestic Parcel Insurance, International Parcel Insurance, High-Value Parcel Insurance
Pre-Book The Cargo Transportation Insurance Global Market Report 2025 Report For Swift Delivery And Comprehensive Insights:
What Trends Are Reshaping The Future Of The Cargo Transportation Insurance Market?
The rise in technological developments is a trending factor gathering momentum in the cargo transportation insurance industry. Top firms in the cargo transportation insurance sector are embracing cutting-edge technologies to maintain their market status. For example, in May 2023, Breeze, a digital freight insurer from the UK, collaborated with Ceedbox, a British software firm, and Cardinal Global Logistics, a UK-based freight forwarding entity, to initiate an automated insurance solution. This solution utilises Ceedbox's technology to diminish manual input and human errors, leading to lesser conflicts and issues related to insurance claims, thus equipping Cardinal with the capacity to offer a comprehensive and efficient service to its clientele. This makes a significant cutback in the time and energy needed for precise cargo insurance coverage.
Who Are the Key Players in the Cargo Transportation Insurance Market?
Major companies operating in the cargo transportation insurance market include:
• Axa SA
• Generali
• Lloyd's of London
• American International Group Inc.
• The Phoenix Insurance Company Ltd.
• Tokio Marine
• Chubb Corp.
• Swiss Reinsurance Company Ltd.
• Zurich Insurance Group Ltd.
• Sompo International
• Travelers Companies Inc.
• Marsh LLC
• Samsung Fire and Marine Insurance Co. Ltd.
• QBE Insurance Group
• Aon PLC
• Markel Corporation
• HDI Global
• Arthur J. Gallagher and Co.
• Allianz SE
• Hanover Insurance Group
• Lockton Companies Inc.
• Hiscox
• Great American Insurance Group
• Mitsui Sumitomo Insurance
• RSA Insurance Group
• Liberty General Insurance Ltd.
What are the Regional Insights into the Cargo Transportation Insurance Market?
North America was the largest region in the cargo transportation insurance market in 2024. The regions covered in the cargo transportation insurance market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
