Rideshare Insurance Market Report 2025

This Rideshare 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 rideshare insurance market size has grown rapidly in recent years. It will grow from $2.38 billion in 2024 to $2.65 billion in 2025 at a compound annual growth rate (CAGR) of 11.4%. The growth in the historic period can be attributed to macroeconomic growth, the development of personalized insurance products, a wide array of benefits of coverage for drivers, growing awareness about the benefits of ridesharing insurance, and an increasing number of accidents.

The rideshare insurance market size is expected to see rapid growth in the next few years. It will grow to $4.03 billion in 2029 at a compound annual growth rate (CAGR) of 11%. The growth in the forecast period can be attributed to rising demand from SMEs, rising demand for insurance coverage for ridesharing activities, an increase in demand for ubi products, and the government's increasing focus on rideshare insurance regulations. Major trends in the forecast period include the growth of digital and mobile platforms, rise of insurtech, telematics data integration, advanced technologies, and the and the integration of AI technologies.

The rising number of road accidents is expected to drive the growth of the rideshare insurance market. The increase in road accidents is largely attributed to human errors such as speeding, distracted driving, and driving under the influence, along with insufficient road infrastructure and vehicle maintenance. Rideshare insurance addresses gaps in personal auto coverage by providing liability protection during app use, pre-ride periods, and coverage for vehicle damage and injuries while driving for hire. For example, in May 2022, the National Highway Traffic Safety Administration, a US-based agency focused on transportation safety, reported that approximately 42,915 individuals lost their lives in motor vehicle accidents that year, marking a 10.5% increase from the 38,824 fatalities in 2020. Additionally, in September 2024, a report from Brake, a UK-based road safety charity, revealed that the UK experienced 1,695 road deaths and 28,967 serious injuries, showing a 10% rise in road deaths and an 8% increase in serious injuries compared to the previous year. Therefore, the growing number of road accidents is fueling the demand for rideshare insurance.

Key players in the rideshare insurance market are focusing on innovative solutions, such as hourly premium calculation models, to offer mobility service providers flexible, cost-effective insurance coverage that aligns with actual service usage and improves operational efficiency. Hourly premium calculation involves determining insurance costs based on the actual number of hours a service is provided, enabling precise and adaptable pricing that matches the time-based use of the insured service. For example, in September 2024, Tokio Marine & Nichido Fire Insurance Co., Ltd., a Japan-based insurance company, introduced a new "Automobile Insurance for Mobility Service Providers" tailored specifically for the Japanese ridesharing model. This innovative insurance solution includes hourly premium calculations and comprehensive coverage to enhance the safety and financial security of drivers and service providers.

In April 2023, Inshur Inc., a US-based insurance technology company, acquired American Business Insurance Services Inc. for an undisclosed sum. With this acquisition, INSHUR aims to leverage the established expertise and client base of American Business Insurance Services (ABIS) to expand its footprint and capabilities across the United States. American Business Insurance Services Inc. is a US-based company that offers insurance for taxicabs, limousines, and transportation network companies (TNC) providers.

Major companies operating in the rideshare insurance market are Allianz SE, AXA Group, State Farm Mutual Automobile Insurance Company, Metropolitan Life Insurance Company, Nationwide Mutual Insurance Company, Allstate Insurance Company, Progressive Casualty Insurance Company, United Services Automobile Association (USAA), Uber Technologies Inc., Government Employees Insurance Company (GEICO), MAPFRE USA Corp., Farmers Insurance Exchange, American Family Insurance Group, DoorDash Inc., Mercury Insurance Group, Sentry Insurance Group, Lyft Inc., New Jersey Manufacturers Insurance Group, Erie Indemnity Company, CC Services Inc. (COUNTRY Financial), Safeco Insurance Company of America, Infinity Property and Casualty Corporation, Esurance Insurance Company, PEMCO Mutual Insurance Company.

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

Rideshare insurance is a specialized form of auto insurance that caters to individuals who use their vehicles to transport passengers for payment. It ensures that drivers have sufficient coverage in case of accidents or other incidents during their ridesharing activities.

The primary types of rideshare insurance include peer-to-peer ridesharing and real-time ridesharing. Peer-to-peer ridesharing involves direct connections between riders and drivers, bypassing a central platform. Coverage options typically include liability, collision, and comprehensive, offered through pricing models such as pay-as-you-go or subscription-based. These options are applicable across commercial, personal, and other usage scenarios.

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

The rideshare insurance market includes revenues earned by entities by providing services such as personal auto insurance endorsements, commercial auto insurance, contingent comprehensive and collision coverage, medical payments coverage, and liability coverage. 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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