Revving up: Insurance operators will benefit from more motorcycle registrations and stable demand

Growing policy volumes and premium prices have spurred revenue growth for the Motorcycle Insurance industry over the five years to 2017. Coupled with rising motorcycle registrations, increasing premium prices are anticipated to cause industry revenue to increase. Consistently rising policy prices in recent years has been in line with the broader property-casualty market, which experienced a hardening pricing cycle during the period. Moreover, the markets for motorcycle insurers have also been affected by distinct demographic changes. Over the five years to 2022, industry revenue is forecast to increase. Continued increases in motorcycle registrations and premium prices are expected, particularly with per capita disposable income anticipated to rise...purchase to read more.

Industry Statistics & Market Size
Revenue
$8bn
Annual Growth 12-17
2.1%
Forecast Growth 17-22
Profit
Employment
9,760
Businesses
8,687

Industry Threats & Opportunities

  • Continued increases in motorcycle registrations and premium prices are expected
  • More accidents are expected to occur, causing premiums to rise
  • Rising policy volumes are anticipated for industry operators in the years ahead
  • Industry Report - Industry Locations Chapter

    The Motorcycle Insurance industry is most heavily concentrated in the Southeast, Great Lakes and Mid-Atlantic regions. The distribution of industry establishments closely follows domestic population trends, particularly urbanization trends. Providers charge higher premiums in locations where there are more vehicles on the road, largely because this increases the likelihood of accidents. Motorcycle insurance is also more expensive in urban regions because of the higher probability of theft or vandalism. For consumers, the most expensive cities to insure a car include Detroit, Philadelphia and New Orleans; these cities are estimated to be similarly expensive for motorcycle insurance.The Southeast region accounts for the largest share of industry establishments, estimated at 26.2% o...purchase to read more.

    Additional Insights for the Motorcycle Insurance Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Motorcycle Insurance Industry are

  • Ability to effectively manage risk
  • Management of high quality assets portfolio
  • Having a cost-effective distribution system
  • IBISWorld analysts also discuss how external factors such as Number of motor vehicle registrations and Number of vehicle accidents in the Motorcycle Insurance industry impact industry performance..

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    What's in this report

    What is the Motorcycle Insurance Industry?

    This industry underwrites motorcycle insurance policies. Motorcycle insurance provides financial protection against physical damage to the vehicle and bodily injury resulting from traffic collisions. It can also protect against resulting liability.

    Industry Products
  • Liability coverage
  • Collision and comprehensive coverage
  • Investment income
  • Industry Activities
  • Directly underwriting liability insurance
  • Directly underwriting collision insurance
  • Directly underwriting comprehensive insurance
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Number of motor vehicle registrations
  • Number of vehicle accidents
  • Per capita disposable income
  • Yield on 10-year Treasury note
  • S&P 500

  • Current Performance
  • Price and policy volume trends
  • Aging markets
  • Struggling profitability
  • Chart: Revenue Growth

  • Industry Outlook
  • Major company trends
  • Rising interest rates benefit asset returns
  • Table: Motorcycle Insurance Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Motorcycle Insurance Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Public Administration
  • Consumers

  • Key Selling Industries
  • Insurance Brokers & Agencies
  • Reinsurance Carriers
  • Third-Party Administrators & Insurance Claims Adjusters

  • Products & Services
  • Liability coverage
  • Collision and comprehensive coverage
  • Investment income
  • Chart: Motorcycle Insurance Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Consumers aged 40 to 49
  • Consumers aged 50 and older
  • Consumers aged 18 to 24
  • Consumers aged 35 to 39
  • Consumers aged 30 to 34
  • Consumers aged 25 to 29
  • Consumers aged 17 and younger
  • Chart: Major Market Segmentation for the Motorcycle Insurance Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Loss and loss adjustment costs
  • Wages and depreciation
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs Motorcycle Insurance

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Motorcycle Insurance Industry

  • Industry Globalization
    Progressive Corp., State Farm, Geico, The Allstate Corporation,
  • Table: Progressive Corp. - financial performance
  • Table: State Farm - financial performance
  • Table: Geico - financial performance
  • Table: The Allstate Corporation - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Motorcycle Insurance Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Motorcycle Insurance Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Number of Motor Vehicle Registrations (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Hard Market
  • A cyclical occurrence in the auto insurance industry when premiums and company profits rise.
  • Loss And Loss Adjustment Costs
  • An insurance company's claims liabilities, or the benefits they pay out to policyholders.
  • Underwriting
  • The process where insurers assess the risks to insure and decide how much to charge for those risks.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Motorcycle Insurance Industry Research Report contains up-to-date data and analysis, allowing you to identify the strengths and potential weaknesses of major companies in the industry. Build your credibility with clients and prospects by sharing insights into the current and emerging trends driving their industry. Our market research gives you the tools to win new business and keep existing clients.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Motorcycle Insurance:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Motorcycle Insurance market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Motorcycle Insurance, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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