Earthquake Insurance Market Report 2025

This Earthquake Insurance market report provides a comprehensive analysis of the market’s characteristics, size, and growth, including segmentation, regional and country-level breakdowns, competitive landscape, market shares, trends, and strategies. It also tracks historical and forecasted market growth across various geographies.

The earthquake insurance market size has grown strongly in recent years. It will grow from $8.02 billion in 2024 to $8.55 billion in 2025 at a compound annual growth rate (CAGR) of 6.6%. The growth in the historic period can be attributed to increasing natural disasters, government initiatives and regulations, rapid global urbanization, growing demand for insuring older buildings, and increasing trend of home insurance policies.

The earthquake insurance market size is expected to see strong growth in the next few years. It will grow to $10.94 billion in 2029 at a compound annual growth rate (CAGR) of 6.4%. The growth in the forecast period can be attributed to rise in the adoption of insurance policies due to future uncertainties, growing construction activity, increasing natural disasters, rising awareness of the need for earthquake insurance, and rising levels of infrastructure development. Major trends in the forecast period include growing installations of earthquake warning systems, the introduction of new technology such as internet of things (IoT)-based systems and data analytics, the introduction of innovative and tailored risk products, advances in risk modeling methodologies, and product innovations.

The growing frequency of natural disasters is expected to drive the expansion of the earthquake insurance market. Natural disasters are catastrophic events triggered by natural forces, resulting in significant loss of life, environmental harm, and destruction of private and public property. The rising number of these events can be attributed to factors such as higher temperatures, stronger storms, shifts in weather patterns, urbanization, and changes in land use. Earthquake insurance provides financial protection against earthquake-related damages, covering repair costs for homes and buildings. This helps individuals and businesses maintain economic stability and recover more quickly after such disasters. For example, in November 2023, the National Audit Office, a UK-based government department, reported that in 2022-23, approximately 5.7 million properties in England were at risk of flooding, marking an increase of around 500,000 properties compared to 2021-22. Therefore, the rising occurrence of natural disasters is driving growth in the earthquake insurance market.

Leading companies in the earthquake insurance sector are focusing on the development of innovative insurance policies, such as natural catastrophe (Nat cat) insurance, to ensure quicker and more efficient payouts following natural disasters. NormanMax Syndicate 3939 is a trailblazing entity specializing in natural catastrophe parametric re/insurance products for events such as hurricanes, tropical cyclones, typhoons, and earthquakes. For instance, in May 2024, NormanMax Insurance Holdings, a US-based insurance company, introduced Syndicate 3939. These innovative parametric products offer transparent and rapid payouts, effectively addressing critical insurance gaps and can be distributed efficiently and at scale, tackling issues related to trapped capital. This syndicate is particularly noteworthy as it is the first of its kind at Lloyd's, focusing specifically on natural catastrophe parametric insurance products, including those covering hurricanes, tropical cyclones, typhoons, and earthquakes.

In April 2024, SageSure, a US-based insurance services company, acquired GeoVera MGA for an undisclosed amount. This acquisition was a strategic move by SageSure to expand its portfolio by integrating GeoVera's expertise in catastrophe-exposed insurance. GeoVera MGA is a US-based provider of residential earthquake insurance.

Major companies operating in the earthquake insurance market are Berkshire Hathaway Inc., State Farm Insurance, Nationwide Mutual Insurance Company, Allstate Corporation, Liberty Mutual Insurance Company, Zurich Insurance Group Ltd., Chubb Limited, The United Services Automobile Association (USAA), Mapfre S.A., The Hartford Financial Services Group Inc., American Family Mutual Insurance Company S.I., Farmers Insurance Group, Assurant Inc., Cincinnati Financial Corporation, Mercury General Corporation, Amica Mutual Insurance Company, CW Group Holdings Inc., The Earthquake Commission (EQC), GeoVera Holdings Inc., The California Earthquake Authority.

North America was the largest region in the earthquake insurance market in 2024. The regions covered in the earthquake insurance market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the earthquake insurance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Earthquake insurance is a form of property insurance aimed at protecting homeowners and renters from the financial losses that can occur due to earthquake damage. This insurance helps reduce the financial burden of earthquakes and offers peace of mind to those residing in earthquake-prone areas.

The primary categories of earthquake insurance are life insurance and non-life insurance. Life insurance involves a contract between an individual and an insurance company, where the insurer agrees to pay a designated beneficiary a specified amount upon the insured person's death or after a certain period. The coverage options include comprehensive and catastrophic. These policies are distributed through various channels such as banks, agents, brokers, retailers, and others, and are utilized in different applications, including personal and commercial, by various end-users such as individuals and businesses.

The earthquake insurance market research report is one of a series of new reports that provides earthquake insurance market statistics, including earthquake insurance industry global market size, regional shares, competitors with an earthquake insurance market share, detailed earthquake insurance market segments, market trends, and opportunities, and any further data you may need to thrive in the earthquake insurance industry. This earthquake insurance market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The earthquake insurance market includes revenues earned by entities by providing residential earthquake insurance, commercial earthquake insurance, comprehensive earthquake insurance, and low-risk earthquake insurance, high-risk earthquake insurance. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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