A pair of industry experts espoused the benefits of insurance exchanges and small agencies today and in the future during the recent Insurance Industry Roundtable run by the WIAA Education & Research Foundation in Irvine, Calif.
...
Insurance exchanges do provide market access as one of their primary functions, Kerr said, but beyond that, an insurance exchange can help agents “complete a number of issues that independent agents have had to deal with historically that are challenging for them.”
Those issues might be human resources, accounting, management and the “types of things that make it difficult for them to accomplish their primary function, which is to sell insurance,” Kerr said, adding his pitch that an exchange is great for new agencies just starting out.
...
In fact, Kerr thinks exchanges will become so popular, that they will come to rule the industry.
“I think that the exchange concept will replace traditional distribution,” Kerr said. “I do believe that wholesalers and MGAs will need to either affiliate with an exchange or become one in-and-of themselves. The difficulty there is the land grab is on, and either you’ve built the model and you’ve grabbed your piece of real estate or you haven’t, and first mover’s advantage.”
http://www.insurancejournal.com/news/west/2012/01/26/232823.htm
Hat tip: Insurance Journal (with video embed of interview)
No comments:
Post a Comment