Mobile Phone Insurance Market Passes $70bn Milestone

The global mobile phone insurance market is on course to exceed US$70bn by 2029, underpinned by rising smartphone prices, expanding operator-led distribution, and growing consumer awareness of device protection. According to a recent report by The Business Research Company, mobile phone insurance is emerging as a small but increasingly significant niche within the wider insurance and financial services landscape.

Although the segment represents only around 2% of the projected US$3.3tn global property and casualty insurance market, its growth trajectory is notably strong. Within the broader financial services sector, forecast to reach US$47.6tn by 2029, mobile phone insurance is expected to account for roughly 0.1% of total market value. While modest in relative terms, the sector’s momentum reflects structural shifts in how consumers purchase and protect personal technology.

Regionally, North America is projected to remain the largest market. Mobile phone insurance premiums in the region are expected to rise from approximately US$12.4bn in 2024 to US$20.2bn by 2029, representing a compound annual growth rate of around 10%. Asia-Pacific, however, is identified as the fastest-growing region, driven by rapid smartphone penetration, a growing middle class, and increasing uptake of premium devices in markets such as China, India, and Southeast Asia.

Product mix trends indicate a clear tilt towards higher-end handsets. Insurance coverage for premium smartphones is forecast to dominate the market, accounting for about 54% of total premiums, or an estimated US$37.8bn, by 2029. This reflects the escalating replacement costs of flagship devices, alongside the proliferation of advanced features including foldable displays, enhanced camera systems, and artificial intelligence-driven functionalities. Consumers are increasingly willing to pay for insurance as device prices climb and repair costs rise.

From a coverage perspective, physical damage protection is expected to remain the largest segment. This category is projected to represent roughly 32% of the market, equivalent to about US$22.6bn in premiums, reflecting the prevalence of screen damage, accidental drops, and everyday wear and tear.

Distribution dynamics are also evolving. Mobile network operators are projected to control the largest share of the market by 2029, with premiums of approximately US$23.3bn, or 33% of total market value. Bundled insurance offerings linked to handset sales and subscription plans have strengthened operators’ role as the primary sales and servicing channel, benefiting insurers through scale, customer reach, and simplified claims management.

Key Mobile Phone Insurance Market Projections (2029)

As smartphones become ever more central to daily life and economic activity, mobile phone insurance is set to consolidate its position as a growth-oriented specialty line within the global insurance ecosystem.