Motor Vehicle Insurance - Jordan | Statista Market Forecast

The Motor Vehicle Insurance market market in Jordan is projected to reach a market size (gross written premium) of US$647.50m in 2024.
The average spending per capita in the Motor Vehicle Insurance market market is expected to amount to US$56.87 in 2024.
With an annual growth rate of 0.76% (CAGR 2024-2029), the gross written premium is projected to result in a market volume of US$672.30m by 2029.
In comparison to other countries, the United States is expected to generate the highest gross written premium of US$341.6bn in 2024.
With the rising number of accidents and the high cost of repairs in Jordan, motor vehicle insurance premiums have seen a significant increase.

Definition:

Motor vehicle insurance, often referred to as auto insurance, is a type of coverage that offers financial protection to individuals who own or operate vehicles like cars, motorcycles, or trucks. When you have motor vehicle insurance, you pay regular premiums to an insurance company, and in return, the insurer helps cover the costs associated with accidents, damages, and injuries related to your vehicle. This insurance market is essential for providing security and financial assistance in case of accidents, ensuring that individuals can repair or replace their vehicles.

Additional information:

The market contains the following KPIs: gross written premium aggregated for all countries and regions, gross written premium per capita, and the share of insureds in the total population for over 50 countries.

Insurance of land motor vehicles

Accident insurance
Insurance for aerial vehicles
Insurance for watercraft
insurance for spacecraft
All other insurance types, such as life insurance and health insurance
Reinsurance

The Motor Vehicle Insurance market in Jordan is experiencing notable developments, driven by various factors shaping the industry landscape in the country. Customer preferences in the Motor Vehicle Insurance market in Jordan are increasingly leaning towards comprehensive coverage options that provide extensive protection for policyholders. This shift is largely influenced by a growing awareness among consumers about the benefits of comprehensive insurance plans, including coverage for a wide range of risks such as accidents, theft, and natural disasters. Trends in the market indicate a rising demand for usage-based insurance policies in Jordan. This innovative approach to pricing premiums based on individual driving behavior is gaining traction among tech-savvy consumers looking for more personalized and cost-effective insurance solutions. Additionally, there is a noticeable trend towards digitalization in the Motor Vehicle Insurance sector, with more insurance providers offering online platforms for policy management and claims processing. Local special circumstances, such as the regulatory environment and market competition, play a significant role in shaping the Motor Vehicle Insurance market in Jordan. Regulatory reforms aimed at enhancing transparency and consumer protection have contributed to a more competitive landscape, with insurance companies vying to offer attractive packages and services to customers. Moreover, the presence of both local and international insurance providers in the market has led to a diverse range of products and pricing options for consumers to choose from. Underlying macroeconomic factors, including economic growth, vehicle sales trends, and regulatory changes, are influencing the dynamics of the Motor Vehicle Insurance market in Jordan. As the economy continues to expand, there is a parallel increase in the number of vehicles on the road, driving the demand for insurance coverage. Moreover, regulatory initiatives aimed at improving road safety and insurance penetration are expected to further fuel the growth of the Motor Vehicle Insurance market in the country.

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on gross written premium, gross written premium per capita, gross claim payments, loss ratio, and distribution channels.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market layer. As a basis for evaluating markets, we use industry associations, national statistic offices, and international organizations, such as OECD. Next we use relevant key market indicators and data from country-specific associations such as insurance consumer spending, gross domestic product, insurance - consumer price index (CPI), population growth. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, exponential trend smoothing and HOLT-linear. The main drivers are insurance consumer spending and insurance - consumer price index (CPI).

Additional Notes:

The market is updated twice per year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Financial market, in a PDF format.

As the population of the United States grows, so too does the number of drivers on the road and thus the customer base for motor insurance. In 2022, there were over 280 million registered vehicles on the roads in the United States. Of those millions of registered vehicles, each year there are also millions of vehicle crashes. Road traffic fatalities in the U.S. peaked in 2021. So while many individuals feel secure in their vehicles, the statistics indicate the importance of automobile insurance and in most cases, auto insurance is required by law. Auto insurance is important because it not only covers any physical damage that may occur in an accident, but also any damage or injury that might be caused because of a vehicular accident or which may be done upon oneself or one’s vehicle by another vehicle or accident – a falling tree for example.