According to the latest report by IMARC Group, titled “Aerospace Insurance Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2020-2025,” the global aerospace insurance market size reached US$ 4.5 Billion in 2019. Aerospace insurance is a type of coverage that is designed for airport operators and aviation service providers. The insurance provider generally levies a premium amount from aircrafts owners at regular intervals based on the air traffic data, size of their operations and the number of airlines that utilize the airport services. Aerospace insurance plays a vital role in covering losses and protecting the aircraft business, passengers, pilots, crew and cargo from damage caused by accidents, war or terrorist activities.
We are regularly tracking the direct effect of COVID-19 on the market, along with the indirect influence of associated industries. These observations will be integrated into the report.
Global Aerospace Insurance Market Trends:
Over the past few years, the aerospace insurance industry has witnessed growth on account of the rising passenger traffic, along with substantial investments in the construction of new airports, as well as renovation and expansion of existing airports. However, the market is currently being influenced by the ongoing coronavirus disease pandemic (COVID-19), owing to which governments of various countries are imposing complete lockdown, along with domestic and international travel restrictions. In line with this, airlines and aircraft lessors are encouraging governments to waive off insurance premiums so as to mitigate the negative impact of the disease. Aerospace insurance providers are also working with airlines to maintain coverage and other operations. Over the long term, the market is expected to witness a revival with significant improvements in services once the global situation resumes normal functioning. Looking forward, the market value is projected to reach US$ 6.1 Billion by 2025, expanding at a CAGR of 5.4% during the forecast period (2020-2025).
- Based on the type, the market has been segmented into life, property and other types of insurance.
- On the basis of the application, the market has been segregated into service providers, airport operators and others.
- Region-wise, the market has been classified into North America, Europe, Asia Pacific, Latin America, and Middle East and Africa.
- The competitive landscape of the market has been examined, with some of the key players being Allianz SE, American International Group, Inc., Global Aerospace Underwriting Managers Ltd., Hallmark Financial Services Inc., Marsh LLC, China Life Insurance Company Ltd., Travers & Associates Aviation Insurance Agency, LLC, Malayan Insurance Co., Inc. AXA Technology Services SAS, ING Bank N.V., Old Republic Aerospace, Hiscox Group, Wells Fargo & Company, and Avion Insurance Agency Inc.
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