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 - Industry Investment Chapter
The Motorcycle Insurance industry has a low level of capital intensity. For every dollar paid as wages, an estimated $0.11 is invested in capital. This is typical of a service-based industry, especially one with a relatively high knowledge base requirement in risk assessment and accounting. The majority of tasks are administrative and include assessing and approving customers for motorcycle insurance and processing claims. Capital investment for the industry includes investment in computers and software, which play an important part in assessing the daily investment positions and customer risk profiles. The level of capital intensity has gradually increased and is expected to continue rising as more online insurance companies spring up... purchase to read more