Event Insurance Market Expected to Reach $2.3 Billion by 2032—Allied Market Research

According to a new report published by Allied Market Research, titled, “Event Insurance Market," The event insurance market was valued at $726.94 million in 2022, and is estimated to reach $2.3 billion by 2032, growing at a CAGR of 12.7% from 2023 to 2032.

The event insurance market has been growing steadily over the years due to the increasing number of events being organized and the growing awareness among event organizers about the importance of insurance coverage. Factors such as the rise in destination weddings, corporate events, music festivals, and other large-scale gatherings have contributed to the expansion of the market.

Furthermore, the event insurance industry is composed of various insurance providers, brokers, and underwriters who offer specialized event insurance products. These companies cater to a wide range of events, from small private gatherings to large-scale international conferences and exhibitions. Some insurance providers also offer online platforms where event organizers can purchase insurance policies conveniently. In addition, insurance companies use chatbot technology to interact with customers and provide personalized services, therefore driving market growth. As a result, increasing technological advancements providing a better consumer experience, which will foster the growth of the event insurance market revenue during the forecasted period.

Furthermore, major market players have undertaken various strategies to increase the competition and offer enhanced services to their customers. For instance, in June 2023, Instant Risk Coverage Inc., Diplomat Consulting Inc. and WMB Specialty announced the launch of a brand new and innovative leading-edge cannabis event insurance product, a first in Canada. This new offering is designed to provide comprehensive coverage and peace of mind to event organizers, exhibitors, and participants of cannabis-related events across the country, ensuring these events can operate safely and fully insured. Therefore, such strategy will for event insurance market growth.

On the coverage, the property damage segment attained the highest event insurance market size in 2022. Event organizers are increasingly seeking comprehensive property damage coverage to protect against potential financial losses resulting from damage to property during events. This includes coverage for various perils, such as fire, theft, vandalism, and natural disasters, to ensure that all potential risks are addressed. Further, insurance providers are increasingly focusing on risk assessment and mitigation strategies to prevent property damage incidents at events.

On the basis of region, North America attained the highest event insurance market share in 2022. The event insurance industry in North America is witnessing increased adoption of technology-driven solutions. Insurance providers are leveraging advanced technologies such as data analytics, digital platforms, and automated underwriting processes to streamline operations, enhance customer experience, and improve risk assessment. Further, insurance providers are adapting their offerings to cater to the changing landscape of events and ensure comprehensive coverage for hybrid and virtual formats. These are the major event insurance market trends in this region.

Insurers and reinsurers suffered huge losses and faced capacity issues due to the pandemic. In addition, insurers reduced their capacity and exited specific businesses and insurance lines. In addition, according to a report published by Risk & Insurance (R&I), revenue generation from trade shows and conference planning decreased by 43.2% from the year 2019 to the year 2020 for the event insurance market. Further, the pandemic resulted in increased claims and payouts as it resulted in cancellation of conferences, concerts, trade shows, and sports events. In addition, insurers had to deal with numerous claims and pay substantial amounts of money to event organizers to make up for the financial losses. Furthermore, the company financial resources came under pressure, which had an effect on the company profitability. Therefore, COVID-19 had a negative impact on the event insurance market.

Key Findings of the Study

• By coverage, the bodily injury segment led the event insurance market in terms of revenue in 2022.
• By end user, the enterprises segment led the event insurance market in terms of revenue in 2022.
• By region, North America generated the highest revenue in 2022.

The key players profiled in the event insurance market analysis are Aon plc, Allstate Insurance Company, American International Group, Inc., Chubb, Hiscox Ltd, GEICO, InEvexco, MARSH LLC, R.V. Nuccio & Associates Insurance Brokers, Inc., and The Hartford. These players have adopted various strategies to increase their market penetration and strengthen their position in the event insurance industry.