Asked to identify the most significant barriers to growth over the next year, executives most frequently cite pricing pressures (59 percent) and regulatory and legislative pressures (41 percent). In addition, 76 percent said they are concerned about the impact external factors, such as regulatory changes and the economy, will have on their companies’ future.
Among the survey’s key findings:
- Nearly two thirds (63 percent) of insurance executives say their companies will be involved in a merger or acquisition as a buyer or seller in the next two years – including 54 percent who say they’ll be buyers
- 30 percent say the highest-priority use for that capital will be a strategic acquisition, followed by investment in technology (20 percent)
- 47 percent say the key driver of increased M&A activity is access to new markets, followed by regulatory changes and pressures (38 percent) and product synergies (33 percent)