Lower commissions hindering broker growth
Friday, 07 28 2017, Category: Insurance and Reinsurance, Country: World
The global insurance broking industry grew at a compound annual growth rate (CAGR) of 7% between 2012 and 2016, however, MarketLine warns that despite impressive growth, lower commissions and the stagnant reinsurance industry are contributing to a slowed growth trend for the sector.
Data and analysis from research firm, MarketLine, shows that during the four-year period between 2012 and 2016, the global insurance brokers sector recorded impressive growth, reaching a value of $42.8 billion.
The majority of the growth has come from “healthy revenue increases in the U.S.,” which MarketLine explained is the largest individual market in the world, with impressive growth also occurring in China.