There is no other sector of economic life that has undergone greater transformation than the market of individual property and accident insurance (including for small businesses) and the market of life insurance. This change is driven by information technology (IT): a uniquely powerful combination of freely competing telecommunications systems and highly developed computer software, hardware and interactivity. The current changes will continue to influence the strategic thinking of insurance company directors.
Information technology is the second largest driver of change in the global insurance market, as well as in any national market, regardless of the extent to which governments seek to protect them from this trend.
Globally, an even stronger impetus for change in non-life and life insurance b2c deals comes from free business competition. It is also the factor that leads leading insurers to compete for supremacy through mergers with other insurers, acquisitions of competitors and the imposition of new products and new sales methods in more and more countries where they have successfully applied for licenses.
Pension funds, mutual funds, as well as equity investments and premium funds of non-life and non-life insurers represent a very large share of the inflow of funds to investment markets, some of which are used by life and non-life insurers for financing the growth of their b2c business.
Source: Insurance: Principles and Practice, Prof. David E. Bland