The insurance industry has adopted a “wait and see” strategy in connection to the necessary transition to new technologies. Most companies are afraid to be the first to make a serious, strategic change in their huge, old, existing IT infrastructure. Read more

Insurance companies have invested a lot and as a result were very successful in establishing good, stable and vast distribution networks. In most European cities it is difficult to walk couple of blocks without noticing an office of an insurance company or insurance sales representatives. Read more

Part 3 In the previous part we studied the reasons for the better development of the second scenario, compared to the first one. We also showed the further development of the second one under the assumptions of relatively inelastic demand and normal elastic demand. In this final part, we observe the development of another, a third scenario, just for comparison. The goal is to measure the result if we decide to keep the savings from the administrative expenses reduction for other projects of the company. Read more

A lot has been written about the launch of Lemonade, the new insurer offering homeowners and renters in NYC insurance coverage starting from 5 USD. Some insurers and analysts were pessimistic, others were startled. Actually, the right reaction should be one of enthusiasm. Read more

In the previous part we noticed that if we reduce premium and costs with the same absolute value, we get a better result at the end of the period, ceteris paribus. Read more