Will the Insurtech cause the insurance agents to disappear? -Part A

I have been there for 22 years. I had one of the largest successful companies in the field that i founded, I understand and know the world of insurance agents and brokers from within. All that is written in the following chapters stems from my experience over the years as a professional who came from the old industry to the new one

Is only the innovation and technology causing the changing or are there other factors that influence?

Consumers all over the world want an insurance agent. The world of insurance is a very complex world that requires knowledge, specialization and understanding. The power passes from the customer during the sales process to the insurance company afterwards. In other words, the operators in the field need a middle man. The insurance companies need a distribution agent for their insurance products during the sale process, and the customers need a professional service afterwards.

This is reason that the world of insurance is based on insurance agents all over the globe However, this situation now has several threats that are causing a process of change:

  1. Profit
  2. Regulation
  3. Availability of knowledge
  4. Technological improvements (InsurTech)

In the next parts of the article we will go deeper and explore how each of these factors affects the agents. Whether and how the technology will lead to the disappearance of most agents from the insurance industry

Kobi Bendelak

CEO at InsurTech Israel

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