Insurance, by its nature is a complex product and the way the industry works has made it even more complex. This book gives an idea of where the industry stands currently and helps in understanding its future direction. There are many aspects, which are seriously affecting global insurance. The book portrays a truly beneficial picture of the driving changes in the operational environment of global insurance.Has globalization helped or hurt the insurance industry? Globalization has provided a host of benefits to the life insurance industry. Over the years, we've seen a dramatic increase in professionalism throughout the industry as companies apply their best practices in the markets around the world. This also applies to the regulatory environment as regulators share their expertise across borders, creating a uniform regulatory environment that ultimately benefits both consumers and the industry as a whole.
Another area in which globalization has helped the life insurance industry is by allowing free flow of managerial talent across borders. Companies are trying to move efficient managers from one market to another, wherever their talent is required by the organization. This helps broaden the horizons not only of each company but also of the entire industry. It is difficult to cite any instance in which an increased global exchange of capital, products, and expertise has in anyway hurt the life insurance industry. Perhaps, the most damaging action that happened was when an insurer wished to enter new foreign markets and paid far too high a price to buy all or a portion of an existing insurer in that market, and paid ridiculous signs-on bonuses to attract experienced agents from established companies. |
