IBM has done issued a report Friend or foe?: Insurtechs and the global insurance industry in which C-suite executives from traditional insurers, insurtech leaders and venture capitalists were surveyed. The survey found that 81 percent of the outperforming insurers surveyed said they have either invested in or are already working with insurtech businesses and nearly 57 percent insurance C-suite executives believed insurtechs are driving innovations across the industry.
The survey also revealed that insurtechs are typically focused on personalization, innovative offerings and insurance distribution. It showed that insurtechs present an opportunity to improve customer relationships, offer additional value-added services and provide more convenient digital and online options for customers.
The IBM report concluded that insurers that do not embrace insurtech solutions may find themselves under increasing threat not only from insurtechs themselves but also from entrepreneurial insurers that leverage insurtech services to expand offerings and deepen policyholder engagement across channels, geographies and lines of business.