US Vehicle Roadside Assistance Market 2025 – 2034

Reports Description

As per the US Vehicle Roadside Assistance Market analysis conducted by the CMI Team, the US Vehicle Roadside Assistance Market is expected to record a CAGR of 4.9% from 2025 to 2034. In 2025, the market size is projected to reach a valuation of USD 2.40 Billion. By 2034, the valuation is anticipated to reach USD 3.69 Billion.

US Vehicle Roadside Assistance Market Overview

The US vehicle roadside assistance market is services offered to motorists in case of unforeseen breakdown or emergencies with their vehicles while driving. As the vehicle population is expanding, and the fleet ages, coupled with the growing popularity of electric vehicles (EVs), the market for such services is increasingly picking up pace.

Because of increasing road safety concerns and the convenience provided by on-demand roadside assistance, consumption of vehicle roadside assistance services will increase considerably over the next few years. The US market is growing very fast with the support of digital advancements and increasing customer demands for instant support.

Roadside assistance operations have become part of the auto ecosystem in this day and age—ranging from towing and battery jump starts to flat tire repair and emergency fuel delivery. Tech-savvy consumers are gravitating towards app-based, subscription-based business models that facilitate instant service, as well as transparency.

The industry is also being propelled by a number of factors, such as the increasing use of smartphones, telematics advancements, rising vehicle miles traveled, and the increasing deployment of electric vehicles that need tailored roadside assistance. The fact that there are auto manufacturers, insurers, and third-party vendors that provide bundled services is also promoting the development of this industry.

US Vehicle Roadside Assistance Market Significant Growth Factors          

The Vehicle Roadside Assistance Market Trends presents significant growth opportunities due to several factors:

• Growth in Electric Vehicle (EV) Adoption: Growth in Electric Vehicle (EV) Adoption: The increasing popularity of electric vehicles in the United States has created new needs for the roadside assistance sector. EVs, while efficient, need specific assistance such as mobile charging stations and towing due to limited charging infrastructure and lengthier charge durations.  Furthermore, EVs tend to weigh more than traditional vehicles, which increases tire wear and the likelihood of roadside incidents. As more Americans transition to EVs amid government incentives and environmental awareness, roadside service providers are adapting their offerings to meet these emerging requirements, fueling market growth significantly.

• Increased Vehicle Miles Traveled (VMT): Expansion of vehicle miles driven per year (VMT) in America has a direct linear relationship to escalating risk of highway vehicle failure. Americans are increasingly driving for travel, work, and play between states, as well as every day, thus break-downs, blow outs, and batteries dying out also face an expanded risk. This behavioral trend amplifies the demand for reliable, fast roadside assistance services. It also influences providers to optimize their coverage areas and reduce response times. The consistent rise in VMT not only signals greater vehicle usage but also underscores the need for accessible, round-the-clock roadside support nationwide.

• Integration with Insurance and OEM Services: The majority of insurance providers and original equipment manufacturers (OEMs) now include roadside assistance with their basic vehicle purchases or coverage packages. This bundling enhances customer convenience as a one-stop solution for breakdown scenarios, again driving up take-up rates. People more and more appreciate these value-added services due to the mitigation of hassle for procuring third-party providers. OEMs further leverage connected car technologies to scan for problems and activate assistance. These partnerships and packaged services are changing market forces by increasing accessibility to services, trust, and brand loyalty, which in the end contribute towards expanding the roadside assistance ecosystem.

US Vehicle Roadside Assistance Market Significant Threats

The Vehicle Roadside Assistance Market faces several significant threats that could impact its growth and profitability in the future. Some of these threats include:

• Rising Operational Costs: The US roadside assistance industry is increasingly burdened by rising operating costs, including fuel, labor, vehicle maintenance, and insurance costs. Post-2020 inflationary pressures have driven costs higher along supply chains, which have burdened profit margins of service providers.Fuel costs, particularly for tow trucks and support vehicles, have risen sharply, driving up the cost of keeping 24/7 fleets. No less significant, competitive wages must be paid to retain trained drivers and technicians in business when labor is scarce. Without efficient cost control or technological advances, these increased costs can lead to decreased profitability and even drive small service providers out of business.

• Limited EV Charging Infrastructure: With the growing uptake of electric vehicles (EVs), the absence of universal and ubiquitous EV charging infrastructure presents a major hindrance to roadside assistance services. Drivers stranded with flat batteries in regions where charging facilities are scarce tend to opt for tow services, which are not only ineffective but also add to operating expenses. This growing gap in infrastructure highlights a critical need for mobile EV charging solutions and expanded charging networks to ensure seamless roadside support for EV users. In addition, not all roadside businesses carry mobile charging units, which is yet another frustration point for EV drivers. This infrastructure deficit leads to operational inefficiencies and reduces the responsiveness of conventional service providers. This issue, if not solved, has the capability to limit the industry from addressing the needs of the evolving vehicle environment.

• Rising Cybersecurity Risks: With the growing digitization of roadside assistance services—via apps, GPS tracking, and integrated vehicle diagnostics—cybersecurity threats are mounting. Hackers targeting service platforms can disrupt operations, steal customer information, or alter dispatch systems. Customer locations, payment information, and vehicle diagnostics contained in cloud-based systems are at risk without robust encryption and cybersecurity controls. One data breach could destroy the reputation of a company and lead to regulatory fines. With growing reliance on digital resources, roadside assistance services must invest in advanced cybersecurity methods to protect their networks, maintain customers trust, and comply with data protection laws.

US Vehicle Roadside Assistance Market Opportunities

• Expansion of EV Support Services: The rapid adoption of electric vehicles will present the roadside assistance operators with a huge diversification opportunity. The conventional roadside operations such as fueling and engine service will have to give way to options such as in-road charging of electric vehicles, battery check, and expert electric vehicle towing. Since EVs have a greater potential for battery-related faults rather than mechanical failure, companies that spend money on EV-compatible gear and technician training will be ahead in the game with a competitive edge. Joining forces with EV manufacturers and charging infrastructure firms will also support additional service capability and customer loyalty. This change is opening new avenues of revenue with keeping up with the direction transportation will head.

• Integration with Connected Vehicle Technologies: Connected and telematics-integrated vehicles with GPS and IoT sensors have a massive potential to improve the effectiveness of roadside service. Interconnection with in-car computers makes it possible for the providers to monitor imminent breakdowns and dispatch assistance even before the vehicle fails. Instant access to real-time data also makes route planning effective, diagnostic checking precise, and customer communication improved. For example, automated notifications can initiate quicker service dispatches, minimizing wait time and enhancing customer satisfaction. Adopting such integrations not only boosts efficiency in operations but also puts providers in a position to deliver predictive, technology-driven services that meet consumers’ expectations in the digital economy.

• Adoption of AI and Automation: The integration of artificial intelligence (AI) and automation presents revolutionary possibilities for the roadside assistance market. AI can enhance dispatching systems, forecast peak periods, and undertake repeat customer interactions through chatbots. Machine learning algorithms can also analyze patterns of breakdowns and customer feedback to enhance service strategies. Back-office functions such as ticketing and claims can also lower operational expenditure. Technology innovation achieves this making speed, accuracy, and scale of services enhance and mitigate human error. Early investors in AI-powered solutions are in good positions to offer smooth data-driven experiences that resonate well with today’s consumers and fleet operators.

US Vehicle Roadside Assistance Market Segmentation Analysis

By Service

• Towing: Towing are a core segment in the US roadside assistance market, commanding over 30% market share in 2023. The service is indispensable in transporting cars that have lost mobility due to mechanical failure, accidents, or other issues to repair facilities or secure locations. Tow services also enjoy a constant demand due to the growing population of cars on the roads and the evolution of car systems. Enhanced speed and response have become possible in tow services due to technological advancements in the form of GPS-based dispatching systems and electric and hybrid vehicle towing equipment.

• Flat Tire Assistance: Flat tire service is amongst the must-have roadside aid, which fights one of the most common car failures. The rate of tire issues is extremely high in electric vehicles (EVs) as they weigh approximately 30% more than internal combustion engine cars. The extra weight speeds up the wear and puncture of tires. In 2023, AAA reported that tire issues were the leading cause for roadside assistance services for EVs, accounting for a significant number of the 160,000 EV service calls. The extra stress on tires from regenerative braking systems simply exacerbates the issue. ​

• Jump Start: Jump start services are essential for cars that have battery failures, especially in colder regions where the low temperatures will affect the functioning of the batteries. Jump start service is giving a temporary power surge to a car’s battery to allow it to start. As more vehicles have sophisticated electronic systems, there is a higher demand for quality jump start services. Service providers are investing in up-to-date equipment and training to effectively manage a range of battery types, including hybrid and electric vehicle batteries.

• Lockout Services: Lockout services help drivers who cannot gain entry to their cars because of lost, stolen, or locked-in keys. With increasingly sophisticated vehicle security devices, the sophistication of lockout situations has grown, necessitating advanced tools and techniques. Service companies are responding by investing in highly sophisticated tools that can safely unlock cars without damaging them. The increased popularity of smart key systems and keyless entry has also created more instances of lockout situations, which again boosts the demand for professional services in this area.​

• Fuel Delivery: Fuel delivery services are offered to motorists who have run out of fuel, with the advantage of a convenient way to get to the nearest filling station. Such a service is especially useful where fueling stations are far apart or in the case of long-distance travel. Companies employ live GPS and mobile app capabilities to provide quick support, improving response time and customer satisfaction. Growing popularity of long-distance travel and suburban area expansion are the reason for consistent demand for fuel delivery service.

• Collision Assistance: Collision Assistance services provide motorists who have had an accident with prompt service such as towing, emergency dispatch, and insurance claims coordination. With over 6.7 million motor vehicle accidents in the US alone in 2018, there is an urgent need for rapid and effective collision response. Providers are now embracing digital tools and telematics to make it possible to report incidents more quickly and to offer support in real-time, making it easier and safer for drivers. These developments provide timely support in high-stress situations, minimizing downtime and enhancing the overall roadside assistance experience for victims of accidents.

• Soft Repair: Soft repair service includes minor mechanical repairs that can be done on-site, for example, changing hoses, belts, or fuses. Soft repair work is designed to provide rapid solutions to problems that do not necessitate towing, reducing downtime and inconvenience to drivers. As new cars become more complex, technicians are being equipped with specialized training to handle a vast array of minor repairs efficiently. Soft repair availability adds to the overall value proposition of road assist programs by providing full support to drivers.

• Tire Replacement: Replacement tires services cover a scenario where an inflated or flat-spotted tire cannot be easily replaced locally but needs to be replaced in toto. Such a service becomes increasingly important for owners who do not have a replacement tire or facilities to change their tire themselves. Service vehicles are being fitted by providers with many different sizes and types of tires to suit all cars in their attempt to give fast and quality help. The larger number of cars without spares reiterates the need for affordable tire replacement shops.

• Battery Replacement: Battery replacement services are necessary for vehicles whose batteries have declined beyond the jump-starting point. It is one of the services that entails taking and installing a new battery to the car’s destination without towing so that drivers can get back on the road. As an increasing number of vehicles take to the road and car batteries have a limited lifespan, the demand for reliable battery change services is on the rise. Operators are streamlining business to deliver fast response times and service for a variety of vehicles.

• EV Charging: Electric vehicle (EV) charging services are increasingly in the spotlight as EV demand increases. EV charging services deliver mobile charging for EV users whose battery has been exhausted and lacks access to a charging terminal. In 2023, AAA indicated that it received only 4% of EV roadside assistance requests due to running out of charge, meaning that while not the best reason, mobile EV charging requests are still substantial. Service companies are adding their services to the list to incorporate mobile charging points, filling up the infrastructure deficit in EV charging networks.

• Fluid Delivery: Fluid delivery services are an essential service of roadside assistance by providing motor fluids such as engine oil, coolant, transmission fluid, or brake fluid to vehicles in the case of leakage or extremely low fluid levels. The services need to prevent mechanical failure that could occur due to fluid low levels, enabling the vehicle to be safely driven to a service facility. Trained service technicians assess the on-road scenario, identify the specific fluid issue, and restock the essential fluids at regular intervals. Apart from lowering vehicular downtime, this also precludes potential harm, offering an instant and secure method of remedy for stranded motorist in desperate situations.

US Vehicle Roadside Assistance Market Impact of Recent Tariff Policies

​ Recent US tariff policies, particularly the imposition of a 25% import tax on automotive parts from Mexico and Canada, are significantly impacting the vehicle roadside assistance market. These tariffs are leading to increased costs for imported car parts, which in turn raise the expenses associated with vehicle repairs and maintenance. For example, routine repair works, like brake replacement, should run up to $100 higher because of the additional cost of imported parts.

The higher vehicle repair cost is expected to have an impact on consumer behavior, with most car owners likely postponing maintenance that is needed. This postponement can lead to a greater rate of roadside breakdowns, hence boosting the demand for roadside help services. Increased repair shop and service provider costs, however, can also lead to higher costs for roadside help services, hence making them unaffordable for some consumers.​

Report Scope

US Vehicle Roadside Assistance Market Key Developments

In recent years, the US Vehicle Roadside Assistance Market has experienced a number of crucial changes as the players in the market strive to grow their geographical footprint and improve their product line and profits by using synergies.

• In December 2024, Motive, an AI-driven Integrated Operations Platform, launched Motive Roadside Assistance, a 24/7/365 support service designed to enhance driver safety and operational efficiency. This new offering, combined with Motive’s First Responder feature, strengthens the company’s comprehensive safety ecosystem by ensuring timely roadside assistance, even in remote or hard-to-reach locations.

• In May 2023, Progressive Insurance introduced Heavy Truck Roadside Assistance Coverage for its commercial auto policyholders. Available across the US and 10 Canadian provinces, regardless of the policy’s origin, this service is tailored to meet the needs of regional, local, and long-haul truckers, helping to reduce downtime and improve fleet performance.

• In March 2022, Volvo Trucks North America unveiled a service tracking enhancement to its Volvo Action Service roadside assistance program. Featuring a modern, user-friendly digital interface, the system improves customer experience during unexpected breakdowns by enabling automatic dispatching, boosting operational efficiency, and providing actionable insights to its preferred vendor network.

These important changes facilitated the companies to widen their portfolios, to bolster their competitiveness, and to exploit the possibilities for growth available in the Vehicle Roadside Assistance Market. This phenomenon is likely to persist since most companies are struggling to outperform their rivals in the market.

US Vehicle Roadside Assistance Market Competitive Landscape

The Vehicle Roadside Assistance Market is highly competitive, with a large number of product providers USly. Some of the key players in the market include:

• Roadside Masters
• Paragon Motor Club
• Good Sam Enterprise LLC
• Emergency Road Services Corporation
• Honk technologies
• Access Roadside Assistance
• Better World Club
• Allstate Insurance Company
• AAA
• Agero Inc.
• AutoVantage
• Others

These companies implement a series of techniques in order to penetrate the market, such as innovations, mergers and acquisitions, and collaboration.

The US Vehicle Roadside Assistance market is not merely dominated by conventional insurance companies or motor vehicle OEMs; it is fueled by a mix of global service networks and new-age tech-based regional players. Large automobile majors like Ford, General Motors, and Toyota make a high contribution through combined service packages, providing inbuilt roadside assistance with the purchase of a new vehicle or extended warranties. Such large brands establish customer trust by providing standardized services of high quality backed by national service networks, which give faster response and complete support.

Furthermore, third-party service aggregators like AAA, Urgent.ly, and Agero dominate the US roadside assistance industry with app-based, on-demand service, augmented with real-time location tracking, clear pricing, and consumer reviews. For example, during January 2025, Agero introduced a new app to provide real-time tracking of roadside assistance services, thus enhancing response times and customer satisfaction.

These platforms have transformed the market by providing greater accessibility and convenience in assistance, particularly to price-conscious customers demanding flexible coverage without customary bundling of policies. In addition, regional startups and mobile mechanic services entail customized service to underpenetrated or rural markets, thus promoting market inclusivity.

This has resulted in a high level of market fragmentation, where players in the market differentiate according to service speed, technology integration, and subscription options. Increased EV and connected vehicle penetration also fuels new entrants for EV-related roadside needs such as mobile charging and diagnostics.

The US Vehicle Roadside Assistance Market is segmented as follows:

By Services

• Towing
• Flat Tire
• Jump Start
• Lockout
• Fuel Delivery
• Collision Assistance
• Soft Repair
• Tire Replacement
• Battery Replacement
• EV Charging
• Fluid Delivery
• Mobile Repair

Regional Coverage:

North America

• U.S.
• Canada
• Mexico
• Rest of North America

Europe

• Germany
• France
• U.K.
• Russia
• Italy
• Spain
• Netherlands
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• New Zealand
• Australia
• South Korea
• Taiwan
• Rest of Asia Pacific

The Middle East & Africa

• Saudi Arabia
• UAE
• Egypt
• Kuwait
• South Africa
• Rest of the Middle East & Africa

Latin America

• Brazil
• Argentina
• Rest of Latin America