What's Happening?
Insurance brokers are increasingly utilizing a combination of insurer extranets and software house platforms for eTrading, according to the Insurance Times Five Star Rating Report: eTrading 2025. The report, based on a survey of over 750 brokers, reveals that 61% of brokers use both extranets and software house platforms. A quarter of brokers exclusively use insurer extranets, while 14% rely solely on software house platforms. The choice between these platforms is influenced by factors such as ease of use, pricing, and product differentiation. Aviva FastTrade is noted as the top-rated extranet for usability, while software house platforms are favored for their ability to facilitate clear comparisons and integrate client data.
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Why It's Important?
The findings highlight the strategic decisions brokers must make in the evolving landscape of eTrading. The preference for a combined approach suggests that brokers are seeking to maximize the benefits of both extranets and software house platforms. This trend could impact the insurance industry by driving innovation and competition among platform providers. Brokers who effectively leverage these platforms may gain a competitive edge through improved efficiency and customer service. The report underscores the importance of platform usability and integration capabilities, which are critical for brokers aiming to streamline operations and enhance client offerings.
What's Next?
As brokers continue to navigate eTrading options, platform providers may focus on enhancing usability and integration features to attract more users. Insurers might also incentivize the use of their extranets by offering exclusive products or competitive pricing. The ongoing evolution of eTrading platforms could lead to further consolidation or partnerships between software houses and insurers. Brokers will likely continue to assess their platform choices based on client needs and market conditions, potentially influencing future developments in the insurance technology sector.
Beyond the Headlines
The shift towards digital trading platforms reflects broader trends in the insurance industry, including the push for digital transformation and increased reliance on technology. This transition raises questions about data security and the ethical use of client information. As brokers integrate more digital tools, they must navigate regulatory requirements and ensure compliance with data protection standards. The emphasis on usability and integration also highlights the need for ongoing training and support for brokers adapting to new technologies.
