For the foreseeable future, interest rates will create significant pressure on profitability for Life & Annuity carriers. Responding to these pressures requires intentional, cost-effective digital solutions that allow for differentiation in the marketplace, operational agility, and the delivery of meaningful experiences.

Use of MGAs, MGUs, and Wholesalers for quickly, effectively, and profitably delivering carrier management and underwriting products to consumers is expected to increase dramatically over the next few years. These channels can only be successful if they can bridge the gap between specialty consumer demands and carriers’ capacity to develop and distribute solutions that extend the reach of traditional carriers.

Despite being poised to grow, the specialty carriers and product lines market is currently underserved. This lack creates an opportunity for the carriers and distribution channels to go direct to consumers — and conduct outreach via embedded and POC channels. Carriers who can design and deploy the right products for specific markets will have the opportunity to gain significant advantage and market share.

The Group Benefits market is competitive; brokers who seek to differentiate, demonstrate their value proposition, and build long-lasting relationships with employers and employees generally win in the marketplace. Being able to leverage technology for enrollment, data management, and communications while ensuring data security and privacy compliance is key. Lastly, brokers must prioritize full-lifecycle engagement so as to meet employers and employees where they are.