Wellness And Activity-Based Health Insurance Market Thumbnail Image

2024

Wellness And Activity-Based Health Insurance Market

Wellness And Activity-Based Health Insurance Market Size, Share, Competitive Landscape and Trend Analysis Report by Type, by Program, by Service Provider : Global Opportunity Analysis and Industry Forecast, 2023-2032

BI : Insurance

Select an option
Author's: Mayabrahmma Akhila | Onkar Sumant
Publish Date:

Get Sample to Email

Wellness And Activity-Based Health Insurance Market Research, 2032

The global wellness and activity-based health insurance market was valued at $97 billion in 2022, and is projected to reach $302.1 billion by 2032, growing at a CAGR of 12.3% from 2023 to 2032.

Wellness and activity-based health insurance is a type of health insurance that integrates wellness and preventive health measures into the insurance policy. It incentivizes policyholders to adopt healthy behaviors and lifestyles by offering rewards, discounts, or other benefits based on their participation in wellness activities and meeting health-related goals. Moreover, these insurance plans often include wellness programs designed to promote healthy behaviors such as regular exercise, nutritious eating, stress management, and preventive health screenings. 

Key Takeaways:

  • By type, the individual insurance segment accounted for the largest wellness and activity-based health insurance market size in 2022.  

  • By program, the fitness program segment accounted for the largest wellness and activity-based health insurance market share in 2022. 

  • Depending on the service provider, the insurance companies segment generated the highest revenue in 2022.

  • Region-wise, North America generated the highest revenue in 2022.

Wellness And Activity-Based Health Insurance Market

The increase in health awareness and wellness trends and the rise in advancements in wearable technology and health monitoring devices boost the growth of the global wellness and activity-based health insurance market. In addition, factors such as government support and regulatory initiatives have positively impacted the growth of the market. However, privacy and data security concerns and limited adoption among older populations are expected to hamper market growth. On the contrary, rising demand for personalized health and wellness solutions is expected to offer remunerative opportunities for the expansion of the market during the forecast period. Each of these factors is projected to have a definite impact the global wellness and activity-based health insurance market growth. 

The report focuses on the growth prospects, restraints, and trends of global market analysis. The study provides Porter’s five forces analysis to understand the impact of various factors such as bargaining power of suppliers, competitive intensity of competitors, threat of new entrants, threat of substitutes, and bargaining power of buyers on the global wellness and activity-based health insurance market. 

Segment Review 

The global wellness and activity-based health insurance market is segmented by type, program, service provider, and region. In terms of type, the market is fragmented into individual plans and group plans. Depending on the program, it is bifurcated into fitness programs, and mental health and well-being programs. As per service provider, it is classified into insurance companies, healthcare providers, and others. Region-wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.  

Wellness And Activity-Based Health Insurance Market by Type

By type, the global wellness and activity-based health insurance market was led by the individual plans segment in 2022 and is projected to maintain its dominance during the forecast period, owing to increasing demand for policies that offer the potential for higher returns than traditional wellness and activity-based health insurance. However, the group plan segment is expected to grow at the highest rate during the forecast period, owing to technological advancement and a rise in awareness among the people, which is projected to attract many new consumers. These factors are expected to boost the global wellness and activity-based health insurance market.  

Wellness And Activity-Based Health Insurance Market by Region

Region-wise, the global wellness and activity-based health insurance market was dominated by North America in 2022 and is expected to retain its position during the forecast period. This is attributed to rising income levels and longer life expectancies. However, Asia-Pacific is expected to witness significant growth during the forecast period, owing to consumer awareness and major players of the market targeting developing countries of Asia-Pacific.  

The key players that operate in the global wellness and activity-based health insurance market are Anthem, Inc., Cigna Corporation, Aetna Inc, Humana Inc., Kaiser Permanente, Blue Cross Blue Shield Association, Vitality Group, Oscar Health, United Health Group and Welltok, Inc. These players have adopted various strategies to increase their market penetration and strengthen their position in the industry. 

Market Landscape and Trends 

The wellness and activity-based health insurance market has witnessed significant growth in recent years, driven by several key factors and evolving trends. In addition, with increasing awareness about the importance of preventive healthcare measures, insurance providers are integrating wellness and activity-based programs into their offerings. These programs incentivize policyholders to adopt healthier lifestyles by rewarding them for participating in activities such as regular exercise, health screenings, and nutrition counseling. Moreover, advancements in technology, particularly wearable devices and mobile apps, have revolutionized the wellness and activity-based health insurance market. Insurers leverage data collected from these devices to track policyholders' health metrics in real time, allowing for personalized health interventions and more accurate risk assessments. 

Competition Analysis 

Recent Developments in the Global Wellness and Activity-based Health Insurance Industry. 

February 5, 2024: Sapiens International Corporation partnered with Binah.ai, the number one health and wellness check software provider, to empower more insurance companies worldwide to use client-provided health data for improved risk management and value-added services at reduced costs. The partnership enables Binah.ai to leverage Sapiens' strong global presence and provides Sapiens' customers with seamless access to Binah.ai's software-based health and wellness check technology. 

February 9, 2022, INSTANDA partnered with Wellx.ai and launched an end-to-end digital health insurance product for individuals, families, and SMEs. Moreover, Wellx.ai seeks to change how medical insurance is underwritten and consumed by bridging the gap between wellness and medical insurance. By utilizing real-time activity and wellness data, Wellx.ai incentivizes healthy behavior and personalizes insurance premiums which drives the wellness and activity-based health insurance market growth. 

On October 3, 2023, Sun Life Financial Inc. acquired Dialogue Health Technologies Inc offering affordable, on-demand access to quality care. Providing service to companies in Canada and internationally, nearly 2.8 million members across 50,000 organizations have access to Dialogue's healthcare team. 

Top Impacting Factors 

Increasing adoption of health awareness and wellness trends 

One of the primary drivers of the wellness and activity-based health insurance market is the growing awareness among individuals regarding the importance of maintaining good health and well-being. With rising concerns about lifestyle diseases and the benefits of preventive healthcare, people are actively seeking insurance policies that offer incentives for adopting healthier lifestyles. This trend is fueled by various factors, including access to information through digital platforms, the promotion of wellness programs by employers, and government initiatives aimed at promoting healthier living habits. 

Advancements in wearable technology and health monitoring devices  

The integration of wearable technology and health monitoring devices is another significant driver of the wellness and activity-based health insurance market. These devices, such as fitness trackers, smartwatches, and health apps, allow individuals to monitor their physical activity, sleep patterns, heart rate, and other health metrics in real-time. Insurance companies leverage this data to incentivize policyholders who demonstrate healthy behaviors with premium discounts, rewards, or other benefits. The proliferation of wearable devices and the increasing adoption of health-focused mobile apps contribute to the growth of this market segment. 

Restraints 

Privacy and data security concerns 

Despite the benefits of wearable technology and health monitoring devices, privacy and data security concerns remain significant challenges for the wellness and activity-based health insurance market. Consumers are increasingly wary of sharing sensitive health data with insurance companies and third-party providers due to concerns about data breaches, unauthorized access, and misuse of personal information. Addressing these concerns and implementing robust data protection measures is essential to foster trust and encourage widespread adoption of activity-based health insurance programs. 

Limited adoption among older populations 

Another restraint facing the wellness and activity-based health insurance market is the limited adoption among older populations. While younger demographics are more inclined to embrace technology-driven wellness programs and actively engage in health-tracking activities, older adults may be less familiar or comfortable with using wearable devices and digital health tools. Insurance companies need to tailor their offerings and communication strategies to cater to the unique needs and preferences of older policyholders, thereby expanding their market reach and participation. As a result, it is expected to hinder the market of usage based insurance market. 

Opportunities 

Rising demand for personalized health and wellness solutions 

Growing demand for personalized health and wellness solutions. An opportunity for the wellness and activity-based health insurance market lies in the development of personalized health and wellness solutions. By leveraging data analytics, artificial intelligence, and machine learning algorithms, insurance providers can gain deeper insights into individual health profiles, lifestyle behaviors, and risk factors. This enables them to offer customized insurance plans and wellness programs that align with the specific needs and goals of each policyholder. Personalization enhances engagement, improves health outcomes, and strengthens customer loyalty, driving growth and competitiveness in the market. 

Key Benefits For Stakeholders

  • This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the global wellness and activity-based health insurance market analysis from 2023 to 2032 to identify the prevailing global wellness and activity-based health insurance market opportunity.  

  • The market research is offered along with information related to key drivers, restraints, and opportunities. 

  • Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network. 

  • In-depth analysis of the global wellness and activity-based health insurance market outlook, segmentation assists to determine the prevailing market opportunities. 

  • Major countries in each region are mapped according to their revenue contribution to the global wellness and activity-based health insurance market forecast. 

  • Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players. 

  • The report includes the analysis of the regional as well as global wellness and activity-based health insurance market trends, key players, market segments, application areas, and market growth strategies.

Wellness And Activity-Based Health Insurance Market Report Highlights

Aspects Details
icon_1
Market Size By 2032

USD 302.1 billion

icon_2
Growth Rate

CAGR of 12.3%

icon_3
Forecast period

2022 - 2032

icon_4
Report Pages

260

icon_5
By Type
  • Individual Plans
  • Group Plans
icon_6
By Program
  • Fitness Programs
  • Mental Health and Well-being Programs
icon_7
By Service Provider
  • Insurance Companies
  • Healthcare providers
  • Others
icon_8
By Region
  • North America  (U.S., Canada)
  • Europe  (UK, Germany, France, Italy, Spain, Rest of Europe)
  • Asia-Pacific  (China, Japan, India, South Korea, Australia, Rest of Asia-Pacific)
  • Latin America  (Brazil, Argentina, Rest of Latin America)
  • Middle East and Africa  (Gcc Countries, South Africa, Rest of Middle East And Africa)
icon_9
Key Market Players

Cigna Corporation, oscar health, Aetna Inc., blue cross blue shield association, Anthem, Inc., kaiser permanente center for health research, Vitality Group, LLC, Humana Inc., United Health Group, VIRGIN PLUS (WELLTOK, INC)

Analyst Review

The wellness and activity-based health insurance market is expected to experience significant growth in the coming years. As technology advances and consumer demand for personalized health solutions increases, this market is poised to revolutionize the way individuals manage their health and insurers approach risk assessment. However, responsible development and implementation are crucial to ensure these plans are accessible, equitable, and truly contribute to improving overall health outcomes. 

Key providers in the market are Anthem, Inc, Cigna Corporation, Aetna Inc, Humana Inc, and Kaiser Permanente. With the growth in demand for wellness activity-based health solutions, various companies have established partnership strategies to increase their solutions offerings in AI solutions. For instance, in March 2022, the Ore. & GERMANTOWN, Md partnered with Reperio Health, a manufacturer of at-home health assessment screening tools that offers comprehensive, immediate, actionable results. Further, such strategies drive market growth. 

In addition, with the surge in demand for usage-based insurance, several companies have expanded their current product portfolio to continue with the rising demand in the market. For instance, in February 2023, Albertsons Companies, Inc. launched Sincerely Health, a digital health and wellness platform, to help improve lives by connecting, educating, encouraging, and rewarding customers on their health and wellness journey so they can make informed choices regarding food, physical activity, sleep and mindfulness. 

For instance, in July 2021, WebMD Health Corp acquired The Wellness Network, a multiplatform company focused on point-of-care, video-based patient education for hospitals and health systems. The acquisition builds on the core competencies of WebMD's digital and online patient education solutions with The Wellness Network's suite of point-of-care, video-based programming supporting patient engagement and post-discharge adherence. 

Author Name(s) : Mayabrahmma Akhila | Onkar Sumant
Frequently Asked Questions?

Growing demand for personalized health and wellness programs tailored to individual policyholders' needs and preferences are the upcoming trends of Wellness And Activity-Based Health Insurance Market in the world.

Mental Health and Well-being Programs are the leading application of Wellness And Activity-Based Health Insurance Market.

North America is the largest regional market for Wellness And Activity-Based Health Insurance.

302.05 $billions is the estimated industry size of Wellness And Activity-Based Health Insurance.

Anthem, Inc., Cigna Corporation, Aetna Inc, Humana Inc., Kaiser Permanente, Blue Cross Blue Shield Association, Vitality Group, Oscar Health, United Health Group and Welltok, Inc are the top companies to hold the market share in Wellness And Activity-Based Health Insurance.

Loading Table Of Content...

Loading Research Methodology...

Individual sections of the reports are available for purchase.
Would you like to see a breakdown of prices by section?

Wellness And Activity-Based Health Insurance Market

Global Opportunity Analysis and Industry Forecast, 2023-2032