Brokers have long enjoyed an indispensable role at the heart of the insurance industry, but their function is increasingly at risk. As in so many other sectors, digital disruption is overturning long-held orthodoxies about the role of the insurance industry’s middlemen.
Remaining relevant requires traditional brokers to become brokers of the future: digitally sophisticated, and, by focusing more on strategic risk advice, able to deliver the transparency and control that today’s customers need.
As digital disruption intensifies, brokers will need to protect and defend their core business while also launching new, value-creating strategies. Platform business models can help them do both. They may well need to buy or partner to create them, but they can begin the process of ensuring future relevance now.