CORINTH — Taken a look at the insurance industry lately? It’s not your father’s insurance agency anymore. It’s not even your insurance agency anymore. And the industry we know today will almost certainly have a new face tomorrow.
“As the new millennium approaches, the insurance industry is in the initial stages of a major restructuring,” said Ernst & Young on its Web site. “The conditions driving change throughout the industry include rising levels of excess capital, stubbornly low return levels of new life premiums, and thin spreads resulting from the current low interest rates.
“The changing competitive landscape is reflected in two major trends: consolidation and convergence. An unprecedented level of merger and acquisition activity is rapidly reducing the number of players in the financial services industry resulting in the formation of mega-companies with global reach.”