Commercial property insurance market to hit US$724bn by 2032Property Market / August 30, 2023 Commercial property insurance market to hit US$724bn by 2032 | Insurance Business America Insurance News Commercial property insurance market to hit US$724bn by 2032 Sector generated US$254.9bn last year Insurance News By Steven Byerley Aug 30, 2023 Share The commercial property insurance industry generated US$254.9 billion in 2022 and is projected to reach US$724 billion by 2032, with a compound annual growth rate (CAGR) of 11.3% from 2023 to 2032, according to a new report from Allied Market Research. The growth of the commercial property insurance market is driven by factors such as increasing awareness of risk management among businesses, regulatory requirements mandating insurance coverage, and the rise in natural disasters and man-made incidents. Additionally, the expansion of businesses globally contributes to the demand for property insurance. However, the market faces challenges such as insurance fraud, volatility in property values, and the complexities of underwriting large-scale properties, the report said. Despite these challenges, opportunities exist in the adoption of advanced technologies like artificial intelligence and data analytics for risk assessment, the development of customised insurance products, and the potential for market expansion in emerging economies with relatively low insurance penetration. The COVID-19 pandemic has had a significant impact on the commercial property insurance market. Lockdowns and reduced activity resulted in a surge in claims for business interruption coverage, leading to disputes over coverage eligibility due to the requirement for physical property damage. Remote work, supply chain disruptions, and uncertain economic conditions promptedThe original article can be found here
