Imagine That

Like everybody else, we sometimes wonder why we do what we do. But when we start poking around a little bit, we often find information that astounds us and reminds of why we do what we do … and why what we do is valuable.

Case in point: According to IBISWorld, the U.S. market size for P&C and direct insurance was $888 billion last year. According to other sources, the U.S. market size for P&C and direct insurance in 2024 is $913.1 billion. And it’s expected to grow at a compound annual growth rate of 5.5 percent from 2024 to 2032, driven by the rising rate of urbanization and higher insurance coverages on properties, homes, commercial enterprises, and vehicles. By any measure, that’s significant growth. And we’re part of it.

Reality Check

The P&C insurance industry manages to continue growing as it does despite consistent challenges that come in increasing numbers. Here are just a few:

• Growing Competition: The industry is highly competitive. There are new players entering the market all the time. Carriers, MGAs, and insurtechs are offering increased specialization, customizing policies and rates.
• Rising Operational Costs: Since the cost of most things goes up, not down, the industry is challenged to be more efficient — without reducing effectiveness and customer service.
• Consumer Expectations: With consumers becoming more sophisticated and technology changing their expectations for responsiveness, the industry is under pressure to provide more personalized services and experiences.
• An Ever-Changing Landscape: The industry has to keep up with emerging trends, technologies, and regulatory requirements, the pace of which always seems to be increasing.
• Digital Transformation: Digital technologies and capabilities are driving everything from artificial intelligence (AI) to blockchain, from the Internet of Things (IoT), to telematics and more.

Modesty Where It’s Due

All those challenges require vendors like us to be agile, creative, responsive, and focused on the needs of our customers. Along the way, we keep things in perspective: We know we process a small fraction of the P&C industry’s $913.1 billion. And we know the industry would still continue to grow without us. But you know what? We’re contributing. We’re doing our part.

Pink Floyd might say we’re just another brick in the wall. But the wall doesn’t get built without bricks like us.

Imagine that.