Insurance broking executives say that digital operations and online sales by insurance companies have made a dent in their business, especially in individual motor and health insurance.
Some indicated that the decline in business in several classes of business reached more than 20 or 30%, reported Al Roeya.
Insurance broking firms are seen as better off than individual brokers as the former provides added value services, and are not simply a window for collecting premiums based on price only.
Mr George Kabban, a director of United Insurance Brokers, told Al Roeya that the digital insurance trend started years ago, but the coronavirus pandemic and its implications contributed to acceleration of this trend. The technological solutions enable insurers to sell a lot of individual products over the Internet, thus reducing or eliminating the need for the intermediary in these lines.