Report Overview

Middle East and Africa Motor Insurance Market – Industry Trends & Forecast Report, 2031

Middle East and Africa Motor Insurance Market size was estimated at USD 45.58 billion in 2024. During the forecast period between 2025 and 2031, Middle East and Africa Motor Insurance Market size is projected to grow at a CAGR of 6.4% reaching a value of USD 68.55 billion by 2031. Prominent drivers of the market include diverse regulatory frameworks, rising adoption of alternative insurance models, and increasing digital penetration. The region exhibits a patchwork of mandatory insurance regulations, with countries like South Africa mandating third-party motor insurance, while others lack uniform requirements, prompting insurers to tailor offerings. Informal insurance mechanisms, such as community-based savings pools, remain prevalent in areas with limited access to formal systems, creating opportunities for microinsurance solutions. Innovative models like microinsurance, popular in Kenya and Tanzania, offer affordable coverage to low-income groups, while pay-as-you-drive (PAYD) insurance, leveraging telematics, appeals to tech-savvy, cost-conscious drivers, especially in South Africa. Additionally, mobile technology is transforming insurance accessibility, with apps enabling policy purchases, claims management, and customer support, particularly in countries like Nigeria and Egypt, driving greater affordability, personalization, and market growth.

Motor Insurance – Overview

Motor insurance is a type of policy that provides financial protection against risks and damages associated with owning and operating motor vehicles. It covers liabilities arising from accidents, theft, or damage to the insured vehicle, as well as injury or damage caused to third parties. The policy typically includes various types of coverage, such as liability coverage for legal responsibilities to third parties, collision coverage for damage to the insured vehicle from collisions, and comprehensive coverage for non-collision-related incidents like theft, natural disasters, or vandalism. Mandatory in most countries, motor insurance ensures legal compliance and offers peace of mind to vehicle owners.

Middle East and Africa Motor Insurance Market

Growth Drivers

Increasing Vehicle Ownership

The Middle East region demonstrates a strong preference for car ownership, significantly outpacing reliance on public transportation. Residents in the region have longer commutes and higher annual mileage compared to their European counterparts, with an average daily commute of 32 kilometers and an annual driving distance of 18,000 kilometers. This growing vehicle ownership is fueled by the region's cultural and infrastructural dynamics, making private transportation a preferred choice. As the number of vehicles on the road increases, the demand for motor insurance rises proportionally, driven by the need for financial protection against accidents, liabilities, and other risks. With more consumers purchasing vehicles and embracing advanced technologies like electric and autonomous vehicles, insurers are presented with substantial opportunities to cater to this expanding market. This trend underscores the pivotal role of increasing vehicle ownership in driving the growth of the motor insurance market across the Middle East and Africa.

Challenges

Economic Downturns

Economic downturns could significantly restrain the growth of Middle East and Africa Motor Insurance Market. Financial instability reduces consumer spending power, leading to lower vehicle purchases and a decline in demand for motor insurance. Businesses may also cut costs by reducing fleet sizes or opting for minimal coverage, further impacting the market. Additionally, during economic slowdowns, policy renewals may decrease as individuals and companies prioritize essential expenses over insurance. The ripple effects of reduced automotive sales and increased default rates on premium payments weaken overall market dynamics, making economic downturns a key challenge for the region's motor insurance industry.

Impact of Escalating Geopolitical Tensions on Middle East and Africa Motor Insurance Market

Escalating geopolitical tensions could significantly impact Middle East and Africa Motor Insurance Market. Heightened conflicts and instability disrupt economic activities, leading to reduced vehicle sales and insurance demand. Infrastructure damage, supply chain interruptions, and heightened risk profiles elevate claims, resulting in increased operational costs for insurers. Additionally, political instability affects consumer confidence, limiting new policy acquisitions and renewals. Insurers may face challenges in assessing and pricing risks accurately, leading to higher premiums or withdrawal from high-risk regions. Regulatory uncertainty and fluctuating economic conditions further complicate market growth, underscoring the need for adaptive strategies by insurers to navigate the complex geopolitical landscape while ensuring sustainable operations in the affected regions.

Middle East and Africa Motor Insurance Market

Segmental Coverage

Middle East and Africa Motor Insurance Market – By Coverage

Based on coverage, Middle East and Africa Motor Insurance Market is divided into Liability Coverage, Collision Coverage, Comprehensive Insurance, and other coverages segments. The comprehensive insurance coverage segment is expected to hold the highest share in Middle East and Africa Motor Insurance Market by coverage during the forecast period, driven by its extensive protection that includes damages to the insured vehicle and third-party liabilities. Its appeal lies in offering complete financial security, particularly in urban areas where vehicle ownership and accident risks are higher. Regulatory frameworks in countries like South Africa and the UAE, emphasizing robust vehicle insurance policies, further boost its dominance. Additionally, incentives such as discounts for accident-free records, recurring policy renewals, and coverage for gas or electric vehicles encourage consumers to choose comprehensive insurance over basic third-party liability policies. The adoption of innovative technologies, such as telematics and mobile applications, enhances the segment's appeal by enabling personalized premiums and efficient claim management. As consumer preferences shift toward inclusive and tailored solutions, comprehensive insurance is set to maintain its leadership through superior coverage, regulatory support, and technological advancements.

Middle East and Africa Motor Insurance Market – Distribution Channel

By distribution channel, Middle East and Africa Motor Insurance Market is divided into Insurance Agents/Brokers, Direct Response, Banks, and other distribution channels segments. The insurance agents/broker segment holds the highest share in Middle East and Africa Motor Insurance Market by distribution channel. It is primarily due to its personalized service and wide consumer reach. Agents and brokers act as intermediaries, offering tailored advice, simplifying policy comparisons, and assisting customers in selecting suitable motor insurance plans. Their expertise in navigating diverse regulatory frameworks across the region further strengthens their dominance. Additionally, the trust built through face-to-face interactions and the ability to address complex queries fosters customer confidence. As motor insurance continues to grow in the region, the agent/broker channel remains critical for driving accessibility and enhancing consumer engagement.

Middle East and Africa Motor Insurance Market – By Vehicle Age

On the basis of vehicle age, Middle East and Africa Motor Insurance Market is split into New Vehicles and Old Vehicles segments. The new vehicles segment is expected to hold a higher share in Middle East and Africa Motor Insurance Market by vehicle age during the forecast period. Rising disposable incomes, urbanization, and a growing middle class in MEA countries, particularly in GCC nations, are driving increased new car purchases. Government initiatives such as tax breaks and facilitated auto loans further support this trend. Additionally, a preference for advanced safety features commonly found in new models enhances their appeal. This growth is complemented by the dominance of personal vehicle insurance, driven by limited public transport options, cultural significance of car ownership, and the rising demand for personal mobility.

Middle East and Africa Motor Insurance Market – By Application

On the basis of application, Middle East and Africa Motor Insurance Market is split into Commercial Vehicle and Personal Vehicle segments.

Middle East and Africa Motor Insurance Market – By Country

The in-depth research report on the Middle East and Africa Motor Insurance Market covers the market in the region’s major countries including Saudi Arabia, UAE, Qatar, Kuwait, South Africa, Nigeria, Algeria, and Rest of Middle East and Africa. South Africa holds the highest share in Middle East and Africa Motor Insurance Market and is expected to maintain dominance during the forecast period. The leadership is driven by a mature insurance sector with established companies, robust regulatory frameworks, and strong consumer awareness of motor insurance. The country’s high vehicle ownership, fueled by a growing middle class, rising disposable incomes, and urbanization, drives demand for insurance, further reinforced by mandatory third-party liability coverage. The Financial Services Conduct Authority (FSCA) ensures fair practices, consumer protection, and innovation, while its educational initiatives empower consumers to make informed decisions. Despite challenges such as uninsured vehicles, efforts by the FSCA and insurers to raise awareness and introduce affordable coverage models strengthen the market. These factors, combined with competitive pricing and diverse insurance products, solidify South Africa’s dominant position in the Middle East and Africa Motor Insurance Market.

Competitive Landscape

Major players operating in Middle East and Africa Motor Insurance Market include Momentum Group, QIC Group, Allianz Middle East, Sukoon Insurance PJSC, Abu Dhabi National Insurance Company (ADNIC), Gulf Insurance Group, Hollard Insurance, Santam, OUTsurance, and    Auto & General Insurance Company Limited. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Scope of the Report

By Coverage

• Liability Coverage

• Collision Coverage

• Comprehensive Insurance

• Others

By Distribution Channel

• Insurance Agents/Brokers

• Direct Response

• Banks

• Others

By Vehicle Age

• New Vehicles

• Old Vehicles

By Application

• Commercial Vehicles

• Private Vehicles

By Country

• Saudi Arabia

• UAE

• Qatar

• Kuwait

• South Africa

• Nigeria

• Algeria

• Rest of Middle East and Africa

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. Middle East and Africa Motor Insurance Market Insights
   1. Industry Value Chain Analysis
      1. DROC Analysis
      2. Growth Drivers
         1. Increasing vehicle ownership
         2. Rising accident rates
         3. Mandatory Insurance Regulations
      3. Restraints
         1. Economic Downturns
         2. Rising Costs
      4. Opportunities
         1. Increasing awareness of insurance benefits
         2. Expanding Product Offerings
      5. Challenges
         1. Natural Disaster
         2. Competition from Insurtech Startups
   2. Technological Advancements/Recent Developments
   3. Regulatory Framework
   4. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Middle East and Africa Motor Insurance Market: Marketing Strategies
5. Middle East and Africa Motor Insurance Market: Pricing Analysis
6. Middle East and Africa Motor Insurance Market Overview
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Coverage
         1. Liability Coverage
         2. Collision Coverage
         3. Comprehensive Insurance
         4. Others
      2. By Distribution Channel
         1. Insurance Agents/Brokers
         2. Direct Response
         3. Banks
         4. Others
      3. By Vehicle Age
         1. New Vehicles
         2. Old Vehicles
      4. By Application
         1. Commercial Vehicles
         2. Personal Vehicles
      5. By Country
         1. Saudi Arabia
         2. UAE
         3. Qatar
         4. Kuwait
         5. South Africa
         6. Nigeria
         7. Algeria
         8. Rest of Middle East and Africa
7. Saudi Arabia Motor Insurance Market
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Coverage
      2. By Distribution Channel
      3. By Vehicle Age
      4. By Application
8. UAE Motor Insurance Market
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Coverage
      2. By Distribution Channel
      3. By Vehicle Age
      4. By Application
9. Qatar Motor Insurance Market
   1. Market Size & Forecast, 2019–2031
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Coverage
      2. By Distribution Channel
      3. By Vehicle Age
      4. By Application
10. Kuwait Motor Insurance Market
    1. Market Size & Forecast, 2019–2031
       1. By Value (USD Billion)
    2. Market Share & Forecast
       1. By Coverage
       2. By Distribution Channel
       3. By Vehicle Age
       4. By Application
11. South Africa Motor Insurance Market
    1. Market Size & Forecast, 2019–2031
       1. By Value (USD Billion)
    2. Market Share & Forecast
       1. By Coverage
       2. By Distribution Channel
       3. By Vehicle Age
       4. By Application
12. Nigeria Motor Insurance Market
    1. Market Size & Forecast, 2019–2031
       1. By Value (USD Billion)
    2. Market Share & Forecast
       1. By Coverage
       2. By Distribution Channel
       3. By Vehicle Age
       4. By Application
13. Algeria Motor Insurance Market
    1. Market Size & Forecast, 2019–2031
       1. By Value (USD Billion)
    2. Market Share & Forecast
       1. By Coverage
       2. By Distribution Channel
       3. By Vehicle Age
       4. By Application
14. Rest of MEA Motor Insurance Market
    1. Market Size & Forecast, 2019–2031
       1. By Value (USD Billion)
    2. Market Share & Forecast
       1. By Coverage
       2. By Distribution Channel
       3. By Vehicle Age
       4. By Application
15. Competitive Landscape
    1. List of Key Players and Their Offerings
    2. Middle East and Africa Motor Insurance Company Market Share Analysis, 2024
    3. Competitive Benchmarking, By Operating Parameters
    4. Key Strategic Developments (Mergers, Acquisitions, Partnerships)
16. Impact of Escalating Geopolitical Tensions on Middle East and Africa Motor Insurance Market
17. Company Profiles (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, and SWOT Analysis)
    1. Momentum Group
    2. QIC Group
    3. Allianz Middle East
    4. Sukoon Insurance PJSC
    5. Abu Dhabi National Insurance Company (ADNIC)
    6. Gulf Insurance Group
    7. Hollard Insurance
    8. Santam
    9. OUTsurance
    10. Auto & General Insurance Company Limited
    11. Other Prominent Players
18. Key Strategic Recommendations
19. Research Methodology
    1.    Qualitative Research
       1.  Primary & Secondary Research
    2.    Quantitative Research
    3.    Market Breakdown & Data Triangulation
       1.  Secondary Research
       2.  Primary Research
    4.    Breakdown of Primary Research Respondents, By Region
    5.    Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable

List of Figures

Figure 1       Middle East and Africa Light Electric Vehicles (LEVs) Segmentation      

Figure 2       Middle East and Africa Light Electric Vehicles (LEVs) Market Value Chain Analysis         

Figure 3       Company Market Share Analysis, 2024

Figure 4       Middle East and Africa Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Figure 5       Middle East and Africa Motor Insurance Market Share, By Coverage, By Value, 2019–2031

Figure 6       Middle East and Africa Motor Insurance Market Share, By Distribution Channel, By Value, 2019–2031

Figure 7       Middle East and Africa Motor Insurance Market Share, By Vehicle Age, By Value, 2019–2031

Figure 8       Middle East and Africa Motor Insurance Market Share, By Application, By Value, 2019–2031

Figure 9       Middle East and Africa Motor Insurance Market Share, By Country, By Value, 2019–2031

Figure 10     Saudi Arabia Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Figure 11     Saudi Arabia Motor Insurance Market Share, By Coverage , By Value, 2019–2031

Figure 12     Saudi Arabia Motor Insurance Market Share, By Distribution Channel, By Value, 2019–2031

Figure 13     Saudi Arabia Motor Insurance Market Share, By Vehicle Age, By Value, 2019–2031

Figure 14     Saudi Arabia Motor Insurance Market Share, By Distriibution Vehicle Age, By Value, 2019–2031

Figure 15     UAE Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Figure 16     UAE Motor Insurance Market Share, By Coverage , By Value, 2019–2031

Figure 17     UAE Motor Insurance Market Share, By Distribution Channel, By Value, 2019–2031

Figure 18     UAE Motor Insurance Market Share, By Vehicle Age, By Value, 2019–2031

Figure 19     UAE Motor Insurance Market Share, By Application, By Value, 2019–2031

Figure 20     Qatar Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Figure 21     Qatar Motor Insurance Market Share, By Coverage , By Value, 2019–2031

Figure 22     Qatar Motor Insurance Market Share, By Distribution Channel, By Value, 2019–2031

Figure 23     Qatar Motor Insurance Market Share, By Vehicle Age, By Value, 2019–2031

Figure 24     Qatar Motor Insurance Market Share, By Application, By Value, 2019–2031

Figure 25     Kuwait Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Figure 26     Kuwait Motor Insurance Market Share, By Coverage , By Value, 2019–2031

Figure 27     Kuwait Motor Insurance Market Share, By Distribution Channel, By Value, 2019–2031

Figure 28     Kuwait Motor Insurance Market Share, By Vehicle Age, By Value, 2019–2031

Figure 29     Kuwait Motor Insurance Market Share, By Application, By Value, 2019–2031

Figure 30     South Africa Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Figure 31     South Africa Motor Insurance Market Share, By Coverage , By Value, 2019–2031

Figure 32     South Africa Motor Insurance Market Share, By Distribution Channel, By Value, 2019–2031

Figure 33     South Africa Motor Insurance Market Share, By Vehicle Age, By Value, 2019–2031

Figure 34     South Africa Motor Insurance Market Share, By Application, By Value, 2019–2031

Figure 35     Nigeria Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Figure 36     Nigeria Motor Insurance Market Share, By Coverage , By Value, 2019–2031

Figure 37     Nigeria Motor Insurance Market Share, By Distribution Channel, By Value, 2019–2031

Figure 38     Nigeria Motor Insurance Market Share, By Vehicle Age, By Value, 2019–2031

Figure 39     Nigeria Motor Insurance Market Share, By Application, By Value, 2019–2031

Figure 40     Algeria Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Figure 41     Algeria Motor Insurance Market Share, By Coverage , By Value, 2019–2031

Figure 42     Algeria Motor Insurance Market Share, By Distribution Channel, By Value, 2019–2031

Figure 43     Algeria Motor Insurance Market Share, By Vehicle Age, By Value, 2019–2031

Figure 44     Algeria Motor Insurance Market Share, By Application, By Value, 2019–2031

Figure 45     Rest of MEA Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Figure 46     Rest of MEA Motor Insurance Market Share, By Coverage , By Value, 2019–2031

Figure 47     Rest of MEA Motor Insurance Market Share, By Distribution Channel, By Value, 2019–2031

Figure 48     Rest of MEA Motor Insurance Market Share, By Vehicle Age, By Value, 2019–2031

Figure 49     Rest of MEA Motor Insurance Market Share, By Application, By Value, 2019–2031

List of Tables

Table 1        Middle East and Africa Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Table 2        Middle East and Africa Motor Insurance Market Size, By Coverage , By Value, 2019–2031

Table 3        Middle East and Africa Motor Insurance Market Size, By Distribution Channel, By Value, 2019–2031

Table 4        Middle East and Africa Motor Insurance Market Size, By Vehicle Age, By Value, 2019–2031

Table 5        Middle East and Africa Motor Insurance Market Size, By Application, By Value, 2019–2031

Table 6        Middle East and Africa Motor Insurance Market Size, By Country, By Value, 2019–2031

Table 7        Saudi Arabia Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Table 8        Saudi Arabia Motor Insurance Market Size, By Coverage , By Value, 2019–2031

Table 9        Saudi Arabia Motor Insurance Market Size, By Distribution Channel, By Value, 2019–2031

Table 10      Saudi Arabia Motor Insurance Market Size, By Vehicle Age, By Value, 2019–2031

Table 11      Saudi Arabia Motor Insurance Market Size, By Distriibution Vehicle Age, By Value, 2019–2031

Table 12      UAE Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Table 13      UAE Motor Insurance Market Size, By Coverage , By Value, 2019–2031

Table 14      UAE Motor Insurance Market Size, By Distribution Channel, By Value, 2019–2031

Table 15      UAE Motor Insurance Market Size, By Vehicle Age, By Value, 2019–2031

Table 16      UAE Motor Insurance Market Size, By Application, By Value, 2019–2031

Table 17      Qatar Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Table 18      Qatar Motor Insurance Market Size, By Coverage , By Value, 2019–2031

Table 19      Qatar Motor Insurance Market Size, By Distribution Channel, By Value, 2019–2031

Table 20      Qatar Motor Insurance Market Size, By Vehicle Age, By Value, 2019–2031

Table 21      Qatar Motor Insurance Market Size, By Application, By Value, 2019–2031

Table 22      Kuwait Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Table 23      Kuwait Motor Insurance Market Size, By Coverage , By Value, 2019–2031

Table 24      Kuwait Motor Insurance Market Size, By Distribution Channel, By Value, 2019–2031

Table 25      Kuwait Motor Insurance Market Size, By Vehicle Age, By Value, 2019–2031

Table 26      Kuwait Motor Insurance Market Size, By Application, By Value, 2019–2031

Table 27      South Africa Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Table 28      South Africa Motor Insurance Market Size, By Coverage , By Value, 2019–2031

Table 29      South Africa Motor Insurance Market Size, By Distribution Channel, By Value, 2019–2031

Table 30      South Africa Motor Insurance Market Size, By Vehicle Age, By Value, 2019–2031

Table 31      South Africa Motor Insurance Market Size, By Application, By Value, 2019–2031

Table 32      Nigeria Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Table 33      Nigeria Motor Insurance Market Size, By Coverage , By Value, 2019–2031

Table 34      Nigeria Motor Insurance Market Size, By Distribution Channel, By Value, 2019–2031

Table 35      Nigeria Motor Insurance Market Size, By Vehicle Age, By Value, 2019–2031

Table 36      Nigeria Motor Insurance Market Size, By Application, By Value, 2019–2031

Table 37      Algeria Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Table 38      Algeria Motor Insurance Market Size, By Coverage , By Value, 2019–2031

Table 39      Algeria Motor Insurance Market Size, By Distribution Channel, By Value, 2019–2031

Table 40      Algeria Motor Insurance Market Size, By Vehicle Age, By Value, 2019–2031

Table 41      Algeria Motor Insurance Market Size, By Application, By Value, 2019–2031

Table 42      Rest of MEA Motor Insurance Market Size, By Value (USD Billion), 2019–2031

Table 43      Rest of MEA Motor Insurance Market Size, By Coverage , By Value, 2019–2031

Table 44      Rest of MEA Motor Insurance Market Size, By Distribution Channel, By Value, 2019–2031

Table 45      Rest of MEA Motor Insurance Market Size, By Vehicle Age, By Value, 2019–2031

Table 46      Rest of MEA Motor Insurance Market Size, By Application, By Value, 2019–2031

Table 47      Momentum Group Company Overview

Table 48      Momentum Group Financial Overview

Table 49      QIC Group Company Overview

Table 50      QIC Group Financial Overview

Table 51      Allianz Middle East Company Overview

Table 52      Allianz Middle East Financial Overview

Table 53      Sukoon Insurance PJSC Company Overview

Table 54      Sukoon Insurance PJSC Financial Overview

Table 55      Abu Dhabi National Insurance Company (ADNIC) Company Overview

Table 56      Abu Dhabi National Insurance Company (ADNIC) Financial Overview

Table 57      Gulf Insurance Group Company Overview

Table 58      Gulf Insurance Group Financial Overview

Table 59      Hollard Insurance Company Overview

Table 60      Hollard Insurance Financial Overview

Table 61      Santam Company Overview

Table 62      Santam Financial Overview

Table 63      OUTsurance Company Overview

Table 64      OUTsurance Financial Overview

Table 65      Auto & General Insurance Company Limited Company Overview

Table 66      Auto & General Insurance Company Limited Financial Overview