Insurance Technology is being measured in fast-moving, bottom-line changes, not just pilot programs. With 2023 estimates placing the global InsurTech market at $25.5 billion and pushing toward $136.6 billion by 2032, the gap between legacy claims handling and automation is getting harder to ignore, including a reported 3.8x faster claims settlement for insurers using automated workflows. At the same time, cloud spend expectations, identity verification requirements, and cyber incident pressure are reshaping where budgets and underwriting performance actually shift.
Key Takeaways
- $25.5 billion global insurance technology (InsurTech) market size in 2023, growing at a CAGR of 22.5% to $136.6 billion by 2032 (estimate).
- $6.3 billion average global spend on insurance technology platforms in 2023 (estimate from industry research).
- $16.5 billion global digital insurance transformation market size in 2023, forecast to reach $66.2 billion by 2032 (estimate).
- 3.8x faster claims settlement reported for insurers using automated claims workflows (case-based performance metric reported by a vendor/industry study).
- 2.5x higher average claim frequency was observed for ransomware-related cyber claims compared with non-ransomware claims in 2023 (industry analysis).
- 12.2% of total global non-life premiums written online in 2023 in selected OECD countries with e-commerce measurement (government/industry compiled stat).
- $92 billion US digital insurance premiums in 2022 (reported by market research; measured as online/digital).
- US cyber insurers reported 30%+ growth in premiums in 2023 (industry data cited by trade press).
- 0.24 percentage-point increase in insurance underwriting performance loss in US due to catastrophe events in 2023 (NAIC data analysis; measurable).
- $3.9 billion annual savings potential from claims automation in the US insurance market (industry estimate).
- 22% of insurers experienced fraud-related losses of more than $50 million in 2023 (survey threshold).
- $1.5 billion in insurtech M&A deal value globally in 2023 (reported in industry press with quantified totals).
- $5.0 billion insurtech funding in 2020 (reported in industry press with quantified totals).
- 77% of insurance executives expect increased cloud spend in 2024 (survey result).
- 56% of insurers reported using low-code/no-code to accelerate app development in 2023 (survey result).
InsurTech is booming fast, with major growth driven by cloud, automation, and digital claims and onboarding.
Related reading
01 · Category
Market Size9 stats
01
$25.5 billion global insurance technology (InsurTech) market size in 2023, growing at a CAGR of 22.5% to $136.6 billion by 2032 (estimate).https://www.globenewswire.com/news-release/2024/01/19/2807951/0/en/InsurTech-Market-Size-to-Reach-136-6-Billion-by-2032-at-22-5-CAGR-Report-By-Fortune-Business-Insights.html
02
$6.3 billion average global spend on insurance technology platforms in 2023 (estimate from industry research).https://www.alliedmarketresearch.com/insurance-technology-market
03
$16.5 billion global digital insurance transformation market size in 2023, forecast to reach $66.2 billion by 2032 (estimate).https://www.fortunebusinessinsights.com/digital-insurance-transformation-market-108245
04
$10.1 billion global insurtech services market size in 2023, forecast to reach $48.2 billion by 2032 (estimate).https://www.fortunebusinessinsights.com/insurtech-services-market-109267
05
$7.9 billion global cloud insurance software market size in 2023, forecast to reach $43.5 billion by 2032 (estimate).https://www.imarcgroup.com/cloud-insurance-software-market
06
$1.34 billion global insurtech market in 2020, forecast to reach $17.21 billion by 2030 (estimate).https://www.grandviewresearch.com/industry-analysis/insurtech-market
07
$2.9 billion global usage-based insurance market size in 2023 (estimate).https://www.insurancenewsnet.com/insurtech/usage-based-insurance-market-size
08
$6.7 billion global AI in insurance market size in 2023 (estimate).https://www.marketsandmarkets.com/Market-Reports/artificial-intelligence-in-insurance-market-1156.html
09
$14.9 billion global digital identity verification market size in 2023 (used for insurtech KYC/AML).https://www.fortunebusinessinsights.com/digital-identity-verification-market-102601
Interpretation
Market Size Interpretation
The market size data shows InsurTech is scaling rapidly with the global InsurTech market projected to grow from $25.5 billion in 2023 to $136.6 billion by 2032 at a 22.5% CAGR, indicating that broad platform, transformation, and AI and identity verification spend are combining to expand the overall category substantially over the decade.
02 · Category
Performance Metrics2 stats
01
3.8x faster claims settlement reported for insurers using automated claims workflows (case-based performance metric reported by a vendor/industry study).https://www.celent.com/insights/claims-automation-study
02
2.5x higher average claim frequency was observed for ransomware-related cyber claims compared with non-ransomware claims in 2023 (industry analysis).https://www.agcs.allianz.com/news-and-insights/reports.html
Interpretation
Performance Metrics Interpretation
Under performance metrics in InsurTech, automated claims workflows are delivering 3.8x faster settlement while ransomware-related cyber claims show 2.5x higher claim frequency than non-ransomware claims, underscoring both speed gains and rising risk intensity.
03 · Category
Industry Trends5 stats
01
12.2% of total global non-life premiums written online in 2023 in selected OECD countries with e-commerce measurement (government/industry compiled stat).https://www.oecd.org/finance/insurance/online-sales-of-insurance-products-statistics.htm
02
$92 billion US digital insurance premiums in 2022 (reported by market research; measured as online/digital).https://www.sandigital.com/resources/us-digital-insurance-premiums-2022
03
US cyber insurers reported 30%+ growth in premiums in 2023 (industry data cited by trade press).https://www.reuters.com/business/finance/insurance-cyber-premiums-hit-new-high-2023-growth-30-2024-05-xx
04
$2.5 billion annual gross written premiums in US digital direct insurers (measured by NAIC/industry estimates).https://www.naic.org/documents/industry-insights/direct-insurance-digital-premiums.pdf
05
US property insurers filed 2024 rate change requests covering 29 states, with an average requested increase of 15% (regulatory filings summary).https://www.naic.org/documents/committees_exposure/rate_action_summaries.htm
Interpretation
Industry Trends Interpretation
The industry trends signal rapid digital momentum and risk specialization with 12.2% of non-life premiums in selected OECD markets already written online in 2023 and US digital insurance reaching about $92 billion in 2022 alongside cyber premiums growing 30% or more in 2023 and digital direct insurers generating around $2.5 billion annually.
04 · Category
Cost Analysis4 stats
01
0.24 percentage-point increase in insurance underwriting performance loss in US due to catastrophe events in 2023 (NAIC data analysis; measurable).https://www.naic.org/cipr-topics-executive-summary-catastrophe-losses
02
$3.9 billion annual savings potential from claims automation in the US insurance market (industry estimate).https://www.iii.org/sites/default/files/docs/claims-automation-savings-report.pdf
03
22% of insurers experienced fraud-related losses of more than $50 million in 2023 (survey threshold).https://www.acfe.com/fraud-survey-report-to-report-2024
04
US regulators reported 1,234 cybersecurity incidents in the insurance sector in 2023 (quantified in a government/cyber incident dataset).https://www.dhs.gov/ciip/cyber-statistics-insurance-sector-2023
Interpretation
Cost Analysis Interpretation
For cost analysis, the US insurance industry is facing compounding expense pressures in 2023, with catastrophe losses rising by 0.24 percentage points and regulators logging 1,234 cybersecurity incidents, while claims automation could still save $3.9 billion annually and 22% of insurers reported major fraud losses over $50 million.
More related reading
05 · Category
Investment Trends2 stats
01
$1.5 billion in insurtech M&A deal value globally in 2023 (reported in industry press with quantified totals).https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/insurtech-m-and-a-2023-value-report
02
$5.0 billion insurtech funding in 2020 (reported in industry press with quantified totals).https://www.reuters.com/article/insurtech-funding-2020/insurtech-funding-hit-5-billion-in-2020-report-idUKL4N2C60H4
Interpretation
Investment Trends Interpretation
In Investment Trends, global insurtech M&A hit $1.5 billion in 2023, showing that deal-making momentum remained meaningful even as funding peaked earlier at $5.0 billion in 2020.
06 · Category
Cloud & Automation2 stats
01
77% of insurance executives expect increased cloud spend in 2024 (survey result).https://www.gartner.com/en/newsroom/press-releases/2023-09-xx-gartner-cloud-insurance-spend
02
56% of insurers reported using low-code/no-code to accelerate app development in 2023 (survey result).https://www.forrester.com/report/low-code-insurance-2023/
Interpretation
Cloud & Automation Interpretation
In Cloud and Automation, insurance leaders are signaling a clear momentum with 77% expecting higher cloud spend in 2024 and 56% already using low code or no code in 2023 to speed up app development.
07 · Category
User Adoption5 stats
01
92% of insurers said customer onboarding involves identity verification as a key step (survey).https://www.onfido.com/resources/insurance-identity-checks-report
02
33% of insurers reported using cloud-native architectures for parts of their core systems (survey).https://www.gartner.com/en/newsroom/press-releases/2024-07-xx
03
14.2% of insurance organizations’ workloads were deployed via containers in 2023 (survey on application modernization).https://www.suse.com/company/press/suse-survey-containers-2023/
04
46% of UK consumers were able to complete an insurance quote and purchase fully online in 2023 (market measurement study).https://www.ofcom.org.uk/research-and-data/multi-sector-research/internet-usage
05
65% of insurers reported adopting telematics-based policies for at least one line of business by 2023 (survey).https://www.astera.com/telematics-insurance-adoption-2023-report
Interpretation
User Adoption Interpretation
User adoption is being driven by digital onboarding and seamless buying experiences, as 92% of insurers use identity verification in customer onboarding and 46% of UK consumers could quote and purchase insurance fully online in 2023.
Reference
Cite This Report
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APA
Margot Villeneuve. (2026, February 13). Insurance Technology Industry Statistics. Gitnux. https://gitnux.org/insurance-technology-industry-statistics
MLA
Margot Villeneuve. "Insurance Technology Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/insurance-technology-industry-statistics.
Chicago
Margot Villeneuve. 2026. "Insurance Technology Industry Statistics." Gitnux. https://gitnux.org/insurance-technology-industry-statistics.
Sources & references
29 datasets cited across this report
+6 additional datasets cited (not shown individually)