Industry Analysis & Industry Trends
Despite the uncertain economic climate, the Motorcycle Insurance industry has been growing at a strong pace over the past five years. Consumers have taken up motorcycles as the rising world price of crude oil has made the upkeep of cars more expensive. More people have been adopting motorcycles as their main form of transport, which has contributed to the strong growth of the industry over the past five years. This trend has been most significant in the eastern seaboard capital cities, which have larger populations and more traffic congestion. These conditions have prompted consumers to purchase motorcycles for increased manoeuvrability and ease of parking.
Large insurance companies have capitalised on the growing number of motorcycles... purchase to read more
Industry Report - Starting a New Business Chapter
The Motorcycle Insurance industry has high barriers to entry largely due to the oligopolistic nature of the market and the level of government regulation. The major players have become highly entrenched and established throughout their many years of operation and their network of intermediaries. The top two players, Suncorp and IAG, hold an overwhelming majority of the market. The reputation, brand name, scope of products and distribution network of these major players make it difficult for new entrants with no prior track record to secure new business, especially from existing policyholders and more experienced motorists.
The level of regulation and extent of compliance poses another significant barrier to entry for new entrants... purchase to read more