$61.13 Bn Auto Extended Warranty Market Opportunities and Strategies to 2034: Powertrain Warranties Lead the Market; Component Warranties Set for Fastest Growth - ResearchAndMarkets.com
DUBLIN--(BUSINESS WIRE)--The "Auto Extended Warranty Market Opportunities and Strategies to 2034" has been added to ResearchAndMarkets.com's offering.
The global auto extended warranty market is undergoing significant growth, reaching nearly $32.76 billion in 2024, reflecting a CAGR of 4.48% since 2019. This trajectory is set to continue, with forecasts predicting a rise to $45.5 billion in 2029 at a CAGR of 6.79%, and further to $61.13 billion by 2034.
Key growth drivers include the rising demand for electric vehicles, the expansion of e-commerce, and consumer preference for premium cars featuring luxury enhancements. However, challenges such as a lack of trust in warranty providers and improvements in OEM warranties might impact future growth.
Regionally, North America dominated the market in 2024, making up $13.71 billion or 41.87% of the total. Asia-Pacific and North America are poised to be the fastest-growing regions, with anticipated CAGRs of 9.35% and 6.66% respectively through 2029.
The market is highly fragmented with many small players, with the top ten competitors claiming only 8.95% of the total market share in 2023. Endurance Warranty Services LLC leads with a 1.59% stake, followed by prominent names like Assurant Inc and Allstate Insurance Company.
The powertrain warranty segment will see a substantial opportunity, gaining $6.09 billion by 2029. Similarly, opportunities will rise in the used vehicle market, auto dealers or manufacturers segment, and passenger vehicles.
Strategies to leverage these opportunities include fostering advancements through strategic collaborations, introducing innovative vehicle protection plans, and expanding in emerging markets while optimizing pricing strategies.
Major Market Trends:
- The role of collaborations in advancing warranty solutions.
- The rise of lifetime powertrain warranties.
- Innovative vehicle protection plans for long-term reliability.
- Extended protection plans for proactive vehicle maintenance.
- Transferable coverage plans revolutionizing auto warranty services.
Market Highlights
- By Product: Powertrain warranties lead, capturing 45.99% of the market. However, the component warranty segment is poised to grow fastest at a CAGR of 7.77% from 2024 to 2029.
- By Vehicle Age: Used vehicles dominate with 59.12% of the market. The new vehicle segment is expected to expand rapidly with a CAGR of 7.74% through 2029.
- By Distribution Channel: Auto dealers or manufacturers constitute 66.13% of the market, while third-party providers will expand fastest at an 8.59% CAGR.
- By Application: Passenger vehicles, comprising 68.30% of the market, will continue to grow at a rapid pace, achieving a CAGR of 6.94% through 2029.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 340 |
| Forecast Period | 2024 - 2034 |
| Estimated Market Value (USD) in 2024 | $32.76 Billion |
| Forecasted Market Value (USD) by 2034 | $61.13 Billion |
| Compound Annual Growth Rate | 6.4% |
| Regions Covered | Global
|
Companies Featured
- Endurance Warranty Services LLC
- Assurant Inc
- Allstate Insurance Company
- Zurich Insurance Group Ltd
- Tata AIG General Insurance Company
- Bajaj Allianz General Insurance Co.
- Mapfre Life Insurance Co.
- Ally Financial Inc.
- CarShield LLC
- Hyundai Motor Company
- Mercedes-Benz
- Simplesurance
- AION
- Okinawa Autotech
- Chery Holding
- Nissan Motor
- Toyota Motor Corporation
- Honda Motor Co., Ltd
- Maruti Suzuki India Limited
- Tata Motors Limited
- Mitsubishi Motors Corporation
- Kia Corporation
- Maserati
- Ferrari
- Carplus
- Mazda
- BNP Paribas Cardif
- Covea
- Allianz Partners
- AXA
- Zurich Insurance Group
- Volkswagen AG
- Warranty Direct
- Mondial Assistance
- Autoguard Warranties
- GuardTree Inc
- Tesla Inc
- HelloSafe
- Global Warranty
- SilverRock Automotive
- Protect My Car
- Daimler Truck AG
- Tavant Technologies
- Xcelerate Auto LLC
- Service Payment Plan Inc
- Ally Financial Inc
- Assurant Inc
- AmTrust Financial Services Inc
- American Auto Shield LLC
- CARCHEX
- Concord Auto Protect Inc
- HDI Seguros S.A
- Bradesco Seguros S.A
- Porto Seguro S.A
- Assurant
- Nissan Motor Co Ltd
- Stellantis NV
- AutoPro
- Al Rajhi Company for Cooperative Insurance SJSC
- Servify Technologies Private Limited
- Oman Insurance Company P.S.C
- QBE Automotive Protection
- MP Warranties
- Gulf Plus Warranties
- Guangzhou Automobile Group Co Ltd
- Volvo Car South Africa (Pty) Ltd
- King Price Insurance
- AXA Mansard Insurance
For more information about this report visit https://www.researchandmarkets.com/r/84tco2
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