Cargo insurance market to grow 4.2% through 2029

The market is expected to bag $70b.

The global cargo transportation insurance market was valued at $56.81b in 2024 and is projected to grow to $59.05b in 2025 with a compound annual growth rate (CAGR) of 3.9%, according to the Business Research Company.

The market is expected to reach $69.59b by 2029, supported by a CAGR of 4.2%.

Growth is being driven by regulatory requirements for cargo insurance, historical instances of cargo loss or damage, and ongoing developments in marine insurance. 

Other contributing factors include increased cross-border trade, the expansion of e-commerce, and the use of data analytics to improve risk management.

Rising demand for transportation of perishable goods, customised insurance for specific cargo types, and usage-based policies for cargo fleets are also expected to support market growth. 

The sector is seeing technological advancements in cargo tracking, risk assessment, and underwriting, along with the use of artificial intelligence in claims processing.