Car Insurance in Australia - Market Research Report

Car Insurance industry trends (2014-2019)

poll Average industry growth 2014–2019: 1.4%

Although the Car Insurance industry has grown steadily over the past five years, it has been characterised by falling investment returns and burdened with rising damage from natural disasters. As the frequency of natural disasters has risen, so too has the frequency of insurance claims. Although insurers have been able to pass on the rising costs to policyholders, the time lag between the new premium prices and payouts has driven industry profitability downwards over the five-year period. Nevertheless, industry revenue is expected to grow at an annualised 1.8% over the five years through 2018-19, to $20.7 billion. This growth is expected to occur largely due largely to the privatisation of compulsory third-party (CTP) insurance in South Australia, an...
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Car Insurance industry outlook (2019-2024)

poll Average industry growth 2019-2024: x.xlockPurchase this report or a membership to unlock the average company profit margin for this industry.

The Car Insurance industry is projected to grow steadily over the next five years, supported by the anticipated rise in registered motor vehicles over the period. Overall, industry revenue is forecast to grow at an annualised X.X% over the five years through XXX-XX, to $XX.X billion. However, strong competition among the major players and newer online operators is likely to limit growth. While the forecast rise in fuel prices may lead some households to reduce their dependence on cars, the rising availability and growing affordability of fuel-efficient vehicles is expected to offset these risks. Continued population growth is also likely to boost demand for cars. The number of motor vehicles in Australia is projected to reach XX.X million in XXX-XX....
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Car Insurance industry statistics

  • business Number of Businesses: 509
  • poll Average Industry Profit Margin: x.x%
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  • supervisor_account Industry Employment: 7,248

Biggest companies in the Car Insurance industry

The companies holding the largest market share in the Car Insurance in Australia industry include Insurance Australia Group Limited, Suncorp Group Limited, QBE Insurance Group Limited and Allianz Australia Limited.

  • pie_chart Insurance Australia Group Limited Market Share: x.x%
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  • pie_chart Suncorp Group Limited Market Share: x.x%
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  • pie_chart QBE Insurance Group Limited Market Share: x.x%
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  • pie_chart Allianz Australia Limited Market Share: x.x%
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What is Car Insurance industry?

Industry Definition

The industry underwrites car insurance policies. Car insurance provides financial coverage for physical damage to automobiles and bodily injuries resulting from traffic collisions. Car insurance can also protect against liability issues resulting from accidents.

Industry Products and Services

  • Commercial motor vehicle insurance
  • Private motor vehicle insurance
  • Compulsory third-party motor vehicle insurance
  • All Others

Industry Activities

  • Underwriting compulsory third-party motor vehicle insurance
  • Underwriting private motor vehicle insurance
  • Underwriting commercial motor vehicle insurance

Market research report - table of contents

Industry Definition

The industry underwrites car insurance policies. Car insurance provides financial coverage for physical damage to automobiles and bodily injuries resulting from traffic collisions. Car insurance can also protect against liability issues resulting from accidents.

Main Activities

  • Underwriting compulsory third-party motor vehicle insurance
  • Underwriting private motor vehicle insurance
  • Underwriting commercial motor vehicle insurance

Similar Industries

Additional Resources

Industry Statistics Snapshot

Industry Structure

Executive Summary

Key External Drivers

Because insurers' investment assets are predominantly interest-bearing assets, interest rate movements affect investment income. The yields on these asset...
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10-year bond rate
Number of motor vehicles
All Ordinaries index
Cost of natural disasters

Current Performance

Online insurance
Growth strategies
 Chart: Revenue Growth

Industry Outlook

Regulatory changes
 Table: Car Insurance in Australia - Market Research Report Industry Revenue Outlook

Industry Life Cycle

Life Cycle Reasons
 Chart: Benchmarking - Car Insurance in Australia - Market Research Report Industry Lifecycle vs The Economy

Supply Chain

Key Buying Industries

Road Freight Transport in Australia
Taxi and Limousine Transport in Australia
Passenger Car Rental and Hiring in Australia
Consumers



Key Selling Industries

Financial Asset Investing in Australia
Insurance Brokerage in Australia





Products & Services

There are three main types of products that the industry offers based on vehicle ownership: private motor vehicle insurance, commercial vehicle insurance ...
Freight and manufacturing industries
Other markets
Car hire and rental firms
Passenger transportation companies


Demand Determinants

Demand for car insurance products is highly correlated with growth in the number of registered vehicles in Australia. Drivers that own a vehicle are requi...
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Major Markets

Freight and manufacturing industries
Other markets
Car hire and rental firms
Passenger transportation companies



 Chart: Major Market Segmentation for the Car Insurance in Australia - Market Research Report Industry

International Trade

Business Locations

Chart: Business Locations by State Chart: Business Locations by State

Market Share Concentration

The Car Insurance industry is moderately concentrated. The four largest players account for 64.4% of industry revenue, with IAG and Suncorp dominating and...
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Key Success Factors

Cost Structure Benchmarks

Profit, Purchases, Wages, Other Costs
 Chart: Cost Structure Benchmarking – Sector vs Car Insurance in Australia - Market Research Report

Basis of Competition

Internal competition
External competition

Barriers to Entry

 Table: Barriers to Entry Checklist for the Car Insurance in Australia - Market Research Report Industry

Industry Globalization

Insurance Australia Group Limited (IAG) is a locally owned and publicly listed company that holds a portfolio of general insurance businesses. In addition...
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IAG

 Table: IAG - financial performance

Suncorp Group

 Table: Suncorp Group - financial performance

QBE Insurance Group

 Table: QBE Insurance Group - financial performance

Allianz Australia

 Table: Allianz Australia - financial performance

Capital Intensity

The Car Insurance industry exhibits a low level of capital intensity. For every dollar paid as wages, an estimated $0.07 is spent on capital investment. A...
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 Chart: Level of Capital Intensity for the Car Insurance in Australia - Market Research Report Industry
 Chart: Tools of the Trade: Growth Strategies for Success

Technology & Systems

Revenue Volatility

Chart: Volatility vs Industry Growth Chart: Volatility vs Industry Growth

Regulation & Policy

Industry Assistance

Table: Industry data Table: Industry Data for the Car Insurance in Australia Industry

Industry Revenue (2007-2025)
Industry Gross Product (2007-2025)
Establishments (2007-2025)
Businesses (2007-2025)
Employment (2007-2025)
Exports (2007-2025)
Imports (2007-2025)
Wages (2007-2025)
Domestic Demand (2007-2025)

Table: Annual Percentage Change for Key Industry Data Table: Annual Percentage Change for Key Industry Data

Table: Key Ratios for Industry Key Dat Table: Key Ratios for Industry Key Data

Table: Industry Financial Ratios Table: Industry Financial Ratios

Liquidity Ratios
Coverage Ratios
Leverage Ratios
Operating Ratios
Cash Flow & Debt Service Ratios (% of Sales)
Assets, %
Liabilities, %

CTP INSURANCE

FLEET INSURANCE

REINSURANCE

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Included in Report

  • Industry Financial Ratios
    Industry Financial Ratios
  • Revenue Forecasts
    Revenue Forecasts
  • Historical and Forecast Growth
    Historical and Forecast Growth
  • Industry Market Size
    Industry Market Size
  • Industry Major Players
    Industry Major Players
  • Profitability Analysis
    Profitability Analysis
  • SWOT Analysis
    SWOT Analysis
  • Industry Trends
    Industry Trends
  • Industry Operating Conditions
    Industry Operating Conditions
  • Porter's 5 Forces Analysis
    Porter's 5 Forces Analysis

Why buy this report on the Car Insurance industry?

IBISWorld industry market research reports enable you to:

  • Find out about key industry trends
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This report on Car Insurance in Australia:

  • 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 Car Insurance in Australia 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 Car Insurance in Australia, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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