SA Insurance Study Shows Dialling Direct Is The Future |
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May 31 - An independent survey of the South African insurance industry by PWC has revealed that the number of short term brokers will decrease substantially by 2009 as more people choose to dial direct, as it were, for their insurance coverage. That startling stat stands out like a sore thumb when reading the PriceWaterhouseCoopers Insurance Survey For 2006. There will be 1500 fewer short term insurance brokers and intermediaries by 2009, or a 6.65% decline over the next three years. Every other major statistical category in short term insurance is expected to increase over the next three years: overall number of employees (up 20.81%); number of short term insurance branches (up 8.42%); policyholders (up a staggering 37.63%); and gross premium income (up by over 46%). With the short term industry growing across the board it would seem logical to expect an increase in the number of brokers as well. The fact that the number is actually set to go down indicates that many South Africans now prefer buying their car and home insurance policies directly from insurance providers such as Dial Direct and Outsurance. The overall outlook for South African short term insurance providers is rosy indeed as the middle class in this country continues to expand at an exponential rate, so that previously uninsured and disadvantaged individuals will seek coverage. The outlook for the middle man, however, is quite bleak. In an age where people are empowered via the Internet to do their own research and comparison shop the insurance broker resembles an endangered species. One hesitates to use the word "dinosaur" but there is a direct correlation in these numbers, wouldn't you agree? Related Insurance Articles: * Rising Power Outages Impact SA Insurance * Medical Aid Giant Has Ailments Of Its Own * Interest Rate Hikes Impact On Home Insurance * Car Insurance Scams In South Africa Exposed * Old Mutual Posts Strong First Quarter Results * Sanlam Set To Offer Direct Life Insurance * SA Insurance Companies Beset By Fraudulent Claims * SA Car And Home Insurance Risk Factors 
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| 3/14/2010 7:06:40 AM | |||||||||||||||||||||
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