“The small commercial market has become increasingly competitive in recent years because more insurers have entered or expanded their footprint in this market,” said Clint Harris, analyst at Conning Research & Consulting. “Insurers are attempting to compete for business through use of technology, product development. However, smaller regional companies are holding their own and many are outperforming the larger writers.”
The Conning Research study, “The Property/Casualty Small Commercial Market: Redefining Battlegrounds and Rules of Engagement,” explores how insurers are competing for market share with new product development, service enhancements, and use of analytics. The study also provides details of this marketplace by class of business, account size, and other characteristics to identify market potential and growth opportunities.
“Many of the key battlegrounds that are developing in technology, expanded distribution, and micro-segmentation have focused on satisfying distributor needs,” said Stephan Christiansen, director of research at Conning. “Insurers are also pursuing a complementary strategy that leverages knowledge of the ultimate customer to build products and services that add value for the customer. So far, both battles are being won on focus, not on scale."