The global agricultural insurance market size is likely to attain over USD 42.31 billion by the year 2028. Besides, it is likely to project a CAGR of nearly 3.6 % during the forecast years 2021-2028. Agricultural insurance is offered to agricultural entities involved in the business such as farmers. This insurance type provides cover for loss resulting from damage of crop, livestock, and farm equipment. Agriculture insurance is a type of protection policy that meant to compensate farmers' losses caused due to production problems. Growing concerns related to the protection of farm fields and crops setting a high customer demand for agriculture insurance.
The ongoing technological advancements and increasing digital initiatives are propelling the growth of the global agriculture insurance market. The agriculture insurance industry has been evolving consistently on a great scale since the recent past. This is mainly attributed to the increasing government support in the form of subsidies and growth in the demand for reinsurance. Developing countries such as India, China & Brazil have made a significant investment across the agriculture sector in the past several years. This factor is further boosting innovation across the agriculture sector and helping nations to lower the cost of agricultural insurance. Such initiatives are increasingly pushing the growth of agricultural insurance market success on the global platform. In addition, the growing private-public partnership also added to the growth of the agriculture insurance market.
The report also emphasizes several distinctiveness of the global agricultural insurance industry by valuing the market from value chain breakdown. Moreover, the report encompasses numerous qualitative features of the agricultural insurance industry which comprises market restraints, drivers, as well as key industry opportunities. Furthermore, the report offers an inclusive evaluation of the company profiling along with the market rivalry of local and global vendors.
The agricultural insurance market has tough competition among the new emerging and pre-established market vendors. Besides, the agricultural insurance industry vendors are trying to capture the prospective markets to grab a competitive advantage over the remaining industry vendors. To capture the market, market players are forming agreements, acquiring other companies & startups, mergers & acquisitions, partnerships & collaboration, and escalating their business existence.
In terms of the application, the market is categorized into crop/MPCI, crop/Hail, livestock, and others. The crop/MPCI segment is accounted for the highest market share in recent years and predicted to achieve the largest growth during the forecast years 2021-2028. The growing demand for agricultural insurance from the crop/MPCI segment is ascribed to the growing concerns regarding the safety of corps and agricultural fields. This factor builds the requirement for insurance to cover the possible damage to the agricultural products and lands due to heavy rain or other extreme weather conditions. On the other hand, the livestock segment is also set to maintain a healthy growth rate throughout the forecast years.
The Asia Pacific is likely to gather noteworthy growth through the forecast years 2021-2028. The growth of the agricultural insurance market in this region is mostly ascribed to the growing adoption of agricultural insurance by agricultural sector members in countries such as India, Japan, and China to protect their lands and agricultural products. The North American region is likely to account for the maximum market contribution during the forecast years. The domination of this region is largely ascribed to the increasing demand for agriculture insurance owing to the growing awareness and government initiatives across the countries like United States, Canada, and Mexico among others.
The major players of the global agricultural insurance market are PICC, Zurich (RCIS), Chubb, QBE, China United Property Insurance, American Financial Group, Prudential and XL Catlin among others. Moreover, the additional prospective market players in the agricultural insurance market are Everest Re Group, Sompo International (Endurance Specialty), UNA Mutual, Agriculture Insurance Company of India, Tokio Marine, CGB Diversified Services, Farmers Mutual Hail, Archer Daniels Midland, New India Assurance, and ICICI Lombard among others. The companies are increasingly adopting several strategies including product launches, partnerships, collaborations, mergers & acquisitions, and joint ventures to strengthen their presence in the global agricultural insurance market.
Segment Overview of Global Agricultural Insurance Market
Type Overview, 2019-2028 (USD Billion)
- Digital & Direct Channel
Application Overview, 2019-2028 (USD Billion)
Regional Overview, 2019-2028 (USD Billion)
- North America
- Rest of Europe
- Asia Pacific
- Rest of Asia-Pacific
- Middle East and Africa
- South Africa
- Rest of Middle East and Africa
- South America
- Rest of South America