Mobile phone insurance market to grow 11.8% by 2030

APAC will be the fastest-growing region.

The global mobile phone insurance market is slated for a compound annual growth rate of 11.8% from 2021 to 2030, with Asia-Pacific (APAC) as the fastest-growing region, according to Allied Market Research.

North America led the market in 2020, with 60% of consumers preferring mobile phone insurance and 62% actively using it. 

APAC’s growth will be supported by high repair costs, promotional offers, and improved customer experience.

The global market was also valued at $24.6b in 2020 and is expected to reach $74.5 by 2030.

Market growth is being driven by the rising incidence of accidental damage, theft, malware attacks, device malfunctions, and the higher cost of repairing modern smartphones. 

A decline in mobile phone sales is seen as a key restraint, whilst  demand for innovative coverage products presents future opportunities.

By phone type, premium smartphones accounted for the largest market share in 2020, with demand supported by the higher risk and cost of damage to these devices. 

The mid- and high-end smartphone segment is expected to post the fastest growth, fuelled by increased global adoption and falling device prices, prompting insurers to design tailored coverage plans.