Shifting Business Drivers for Small Commercial Distribution Technology Investments –

New SMA Blog by Mark Breading, Partner, Strategy Meets Action

Small commercial insurers are in a unique position in the insurance industry. While the consumer segment is often the first to drive the latest innovations in the industry, small commercial airlines are often at the forefront of change in the commercial market before technologies reach medium/large commercial risks. Looking back over the past few years, small commercial shippers have made significant strides in applying straight-through processing, digital self-service capabilities, and other capabilities to certain areas of their business, particularly distribution. But the ever-evolving sales landscape requires technology solutions to support sales partners and streamline business processes. Where are small commercial insurers focusing their technology investments today?

A recent survey of executives from small commercial lines of business shows some shifts in distribution investment decisions this year. According to Distribution Technologies for Small Commercial Lines: Carrier Plans in 2023 and Beyond report, almost all small commercial insurers say that improving the customer experience for the agent/broker is one of their top business drivers for technology investments. This is a 20% increase from 2021 and shows how the industry is becoming more experiential.

At the same time, insurers also recognize the importance of aligning partners’ priorities with their own. It follows that 75% of insurers are driven by efficiencies/enabling more STP. By increasing operational efficiencies, insurers can spend more time serving customers and reduce friction for agents and policyholders with more seamless access to quotes, supplements, and billing. However, airlines showed decreasing satisfaction with their policy discovery capacity, suggesting that further investment can be made to focus on improvement processes.

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However, as of 2021, fewer small commercial insurers — just over a third — cite increasing their market share as a driver of technology investment in 2023. But that doesn’t mean it’s unimportant. The data clearly shows that insurance carriers have different priorities and are in different stages of expanding their distribution landscape, but remain committed to customer experience and increasing efficiencies.

For more information on distribution technology strategies and investments for small commercial lines, read our latest research report, Distribution Technologies for Small Commercial Lines: Carrier Plans in 2023 and Beyond. This report is part of SMA’s research series based on surveys and interviews with insurers, agencies, brokers, MGAs and others in the distribution channel, including insights from ReSource Pro’s extensive distribution customer footprint. Contact the author for more information on these new sales research and consulting services.

Contact the author for more information.

About the author

Mark breading is known for its insights into the future of the insurance industry and innovative use of technology. Mark advises insurers and technology companies on forward-thinking strategies for success in the digital age. His inventive methods, fresh ideas, creative conceptualizations and ability to integrate InsurTech and transformational technology into business strategies are unparalleled. He also leads SMA’s research program, publishes 25-30 research reports per year and conducts various custom research projects for insurance and provider customers. His thought leadership in the areas of InsurTech, transformational technologies, customer experience and digital strategies has earned him a ranking as one of the “Top Global Influencers in InsurTech” by InsurTech News and Onalytica and a place among the ten finalists for the “Top Global IoT in Insurance Influencer Award”. “

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Prior to joining SMA in 2009, Mark spent 25 years at IBM, including positions as Global Insurance Strategist and Director of Global Financial Services Executive Conferences, in addition to senior consulting and marketing roles. Mark co-developed IBM’s Account Based Marketing program and led the global project office to implement ABM across all industry verticals worldwide. Mark has held both technical and business roles in sales, consulting, marketing and business strategy and has been advising insurers around the world for nearly 30 years.

About SMA, a ReSource Pro company

At Strategy Meets Action, our clients drive their strategic initiatives and accelerate their transformation journeys by leveraging our forward-thinking insights, deep vendor insights and deep industry expertise. Strategy Meets Action is a consultancy that works exclusively with insurers, MGAs and providers in the P&C market. For more information, visit

About ReSource Pro

ReSource Pro provides insurance organizations with integrated operational solutions to improve growth, profitability and insurance outcomes. Headquartered in New York, ReSource Pro’s global service centers attend to customers’ operational needs 24/7. The company is recognized as an industry thought leader and has been named one of the Inc. 5000 Fastest Growing Private Companies annually since 2009. It is known for its focus on innovation, service excellence and trusted partnerships, as well as its unique insurance operations productivity platform. ReSource Pro’s 5,000+ employees provide dedicated support to hundreds of insurance organizations, achieving a consistent customer retention rate of +97% over a decade. Visit for more information.

SOURCE: Strategy Meets Action (SMA)

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