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The car insurance market is experiencing significant growth with rising road accidents, EV adoption, and increasing consumer awareness. According to the Insurance Information Institute data in February 2025, the annual expenditure on auto insurance was USD 1,127 per policyholder in 2022, with a rise of 6.1% from 2021. The rise is mainly propelled by the increasing claim costs and increasing vehicle repair costs. Further, the inflation and higher car prices, which include the electronic components and repair costs, have contributed to a 17.8% rise in motor vehicle insurance costs in 2024. The industry is further experiencing a technology shift with the adoption of AI and data analytics for the underwriting and rate-setting process.