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Homeowners' Insurance in the US - Market Research Report (2014-2029)

Demetrios Berdousis Demetrios Berdousis New York, United States Last Updated: October 2024 NAICS OD4766

Revenue

$144.0bn

2024

$144.0bn

Past 5-Year Growth

Profit

$XX.Xbn

Employees

109k

Businesses

612

Wages

$XX.Xbn

Homeowners' Insurance in the US industry analysis

Homeowners' insurance protects households against property damage from natural causes or theft and liability from inflicting bodily injury or property damage on others. Demand for homeowners' insurance is typically stable regardless of fluctuations in macroeconomic factors. Homeowners' insurance is typically considered a requisite expense for protection against the inherent risks of homeownership. To this end, well over three-quarters of all US households have homeowners' insurance. Although, the industry's supply of homeowners' insurance and underwriting results vary significantly by geographic region because of differences in local claims costs, profitability and competitive market conditions. Over the past five years, revenue has been growing at a CAGR of 2.3% to $144.0 billion, including an expected 0.8% increase in 2024 alone. Profit is also expected to climb to 12.6% of revenue in 2024 from 12.5% in 2019.

Trends and Insights

  • Positive economic trends have contributed to revenue growth. Increases in housing starts and disposable income have been critical drivers for operators.
  • The HO-5 coverage segment expanded, partially because of improving household income. Demand for this segment is stable but policyholders in this segment typically have high disposable incomes.
  • Larger and more populous states typically have a greater number of total establishments compared with smaller states. However, densely populated regions require fewer establishments per customer since a few offices can easily serve many customers.
  • Insurers compete primarily on price. Industry products are similar in the industry and consumers typically purchase less expensive products when available.

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  • Market estimates from 2014-2029
  • Critical performance data and rankings
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Industry Statistics and Trends

Market size and recent performance (2014-2029)

Industry revenue has grown at a CAGR of 2.3 % over the past five years, to reach an estimated $144.0bn in 2024.

Trends and Insights

Positive economic trends contribute to revenue growth

  • The homeowners' insurance industry has expanded because of rapid increases in housing starts and per capita disposable income. Rising incomes have resulted in greater home purchases and demand for homeowners' insurance.
  • Additional trends and insights available with purchase
Homeowners' Insurance in the US
Revenue (2014-2029)
IBISWorld Logo Source: IBISWorld

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

Biggest companies in the Homeowners' Insurance in the US

Company
Market Share (%)
2024
Revenue ($short_0)
2024
Profit ($short_0)
2024
Profit Margin (%)
2024

There are no companies that hold a large enough market share in the Homeowners' Insurance in the US industry for IBISWorld to include in this product.

Products & Services Segmentation

Homeowners' Insurance in the US
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including HO-3, HO-5 and HO-2. HO-3 is the largest segment of the Homeowners' Insurance in the US.

Trends and Insights

HO-3 coverage is stable and is the largest product segment

  • An HO-3 policy provides coverage for all home damages except for those specifically excluded in the policy. Exclusions include flood damages, which are never protected by homeowners' insurance. Other exclusions may include earthquakes, war, neglect and other damages that vary for each policyholder.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

This industry includes insurers that underwrite (e.g. assume and manage risk) homeowners’ insurance policies. Homeowners’ insurance protects households against property damage or losses due to catastrophic disasters, theft and other causes. These policies also protect against personal liability that may result from bodily injury that occurs on one’s property.

What's included in this industry?

Assuming and managing property damage risks due to losses from catastrophic weather, fire, theft and other causesAssuming and managing household personal and legal liabilities from bodily injury and property damageAssuming and managing identity theft, credit card and other household risks

Companies

Purchase this report to view all major companies in this industry.

Related Terms

CAPACITYCOMBINED RATIOEXPENSE RATIOLOSS RATIOUNDERWRITING

Industry Code

NAICS 2017

NAICS 52412 - Homeowners' Insurance in the US

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Positive economic trends have contributed to revenue growth. Increases in housing starts and disposable income have been critical drivers for operators.

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2014-2023) and forecast (2024-2029)
  • Employees, including historical (2014-2023) and forecast (2024-2029)
  • Businesses, including historical (2014-2023) and forecast (2024-2029)
  • Profit, including historical (2014-2024)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

The HO-5 coverage segment expanded, partially because of improving household income. Demand for this segment is stable but policyholders in this segment typically have high d...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2024
  • Product innovation level

Charts

  • Products & services segmentation in 2024
  • Major market segmentation in 2024

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

Larger and more populous states typically have a greater number of total establishments compared with smaller states. However, densely populated regions require fewer establi...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each state
  • Share of population compared to establishments in each region in 2024

Tables

  • Number and share of establishments in each state in 2024
  • Number and share of revenue each state accounts for in 2024
  • Number and share of wages each state accounts for in 2024
  • Number and share of employees in each state in 2024

Detailed analysis

  • Geographic spread of the industry across North America, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Insurers compete primarily on price. Industry products are similar in the industry and consumers typically purchase less expensive products when available.

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2019-2024
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

Large operators benefit from being well-established. These operators provide various insurance products, including homeowners’ insurance.

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2020 through 2024
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2024

Detailed analysis

    External Environment

    Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

    Analyst insights

    Government organizations regulate the industry. These organizations assist state insurers in establishing standards and coordinating regulatory oversight.

    In this chapter

    • External Drivers
    • Regulation & Policy
    • Assistance

    Key metrics

    • Regulation & policy level and trend
    • Assistance level and trend

    Charts

    • Regulation & Policy historical data and forecast (2014-2029) 
    • Assistance historical data and forecast (2014-2029) 

    Detailed analysis

    • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
    • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
    • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

    Financial Benchmarks

    View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

    Analyst insights

    Wage expenses have dipped but are still a major expense for operators. The industry relies on skilled labor to build positive customer relationships while providing excellent...

    In this chapter

    • Cost Structure
    • Financial Ratios
    • Key Ratios

    Key metrics

    • Profit margin, and how it compares to the sector-wide margin
    • Average wages, and how it compares to the sector-wide average wage
    • Largest cost component as a percentage of revenue
    • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

    Charts

    • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
    • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
    • Investment vs. share of economy

    Data tables

    • Industry Multiples (2017-2022)
    • Industry Tax Structure (2017-2022)
    • Income Statement (2017-2022)
    • Balance Sheet (2017-2022)
    • Liquidity Ratios (2017-2022)
    • Coverage Ratios (2017-2022)
    • Leverage Ratios  (2017-2022)
    • Operating Ratios (2017-2022)
    • Cash Flow & Debt Service Ratios (2014-2029)
    • Revenue per Employee (2014-2029)
    • Revenue per Enterprise (2014-2029)
    • Employees per Establishment (2014-2029)
    • Employees per Enterprise (2014-2029)
    • Average Wage (2014-2029)
    • Wages/Revenue (2014-2029)
    • Establishments per Enterprise (2014-2029)
    • IVA/Revenue (2014-2029)
    • Imports/Demand (2014-2029)
    • Exports/Revenue (2014-2029)

    Detailed analysis

    • Trends in the cost component for industry operators and their impact on industry costs and profitability 

    Key Statistics

    Industry Data

    Data Tables

    Including values and annual change:

    • Revenue (2014-2029)
    • IVA (2014-2029)
    • Establishments (2014-2029)
    • Enterprises (2014-2029)
    • Employment (2014-2029)
    • Exports (2014-2029)
    • Imports (2014-2029)
    • Wages (2014-2029)

    Top Questions Answered

    Unlock comprehensive answers and precise data upon purchase. View purchase options.

    What is the market size of the Homeowners' Insurance in the US industry in United States in 2024?

    The market size of the Homeowners' Insurance in the US industry in United States is $144.0bn in 2024.

    How many businesses are there in the Homeowners' Insurance in the US industry in 2024?

    There are 612 businesses in the Homeowners' Insurance in the US industry in United States, which has grown at a CAGR of 1.7 % between 2019 and 2024.

    Has the Homeowners' Insurance in the US industry in United States grown or declined over the past 5 years?

    The market size of the Homeowners' Insurance in the US industry in United States has been growing at a CAGR of 2.3 % between 2019 and 2024.

    What is the forecast growth of the Homeowners' Insurance in the US industry in United States over the next 5 years?

    Over the next five years, the Homeowners' Insurance in the US industry in United States is expected to grow.

    What does the Homeowners' Insurance in the US in United States include?

    Assuming and managing property damage risks due to losses from catastrophic weather, fire, theft and other causes and Assuming and managing household personal and legal liabilities from bodily injury and property damage are part of the Homeowners' Insurance in the US industry.

    How competitive is the Homeowners' Insurance in the US industry in United States?

    The level of competition is high and steady in the Homeowners' Insurance in the US industry in United States.

    Related Industries

    Widen your competitive advantage with related industries

    Competitors

    • There are no industries to display.

    Complementors

    • Life Insurance & Annuities in the US
    • Health & Medical Insurance in the US
    • Property, Casualty and Direct Insurance in the US
    • Reinsurance Carriers in the US

    International industries

    • Global Direct General Insurance Carriers
    • Property, Casualty and Direct Insurance in Canada
    • General Insurance in Australia
    • General Insurance in New Zealand
    • General Insurance in the UK

    View all industries in United States

    Methodology

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    Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

    IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

    What data sources do IBISWorld analysts use?

    Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

    Key data sources in the US include: 

    • US Census Bureau
    • US Bureau of Labor Statistics
    • US International Trade Commission

    Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

    These sources include:

    • Industry and trade associations
    • Industry federations or regulators
    • Major industry players annual or quarterly filings

    Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

    How does IBISWorld forecast its data?

    IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

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