Product Warranty Insurance in the US - Industry Market Research Report

Product Warranty Insurance in the US - Industry Market Research Report
Product Warranty Insurance in the US

The Product Warranty Insurance industry underwrites factory warranties for manufacturers and extended warranties for retailers and consumers. Product warranties insure major electronics, household appliances and other products against defects or damage and cover repair and replacement costs. Product warranty insurance providers have benefited from a jump in electronics prices, which has led to greater prices of premiums to insure these goods. Also, strong economic growth at the outset of the current period and the federal response to COVID-19 have benefited the industry, resulting in greater disposable income and a expanding housing market. These developments have resulted in more product purchases, ultimately generating new demand for product warranty insurance. Over the past five years, revenue has grown at a CAGR of 3.4% to $1.9 billion, including an expected decline of 0.2% in 2023. Profit is expected to climb to 15.3% of revenue in 2023, up from 14.5% in 2018.

This industry comprises operators primarily engaged in underwriting product warranty policies, which protect the buyer of the product from defects and damage. The industry excludes warranty programs for homes, automobiles and other vehicles. It also excludes companies that perform repair services for products under warranty.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.