Sector transformation continues to drive M&A activity, as 51% of insurance companies say they expect to pursue deals in the next 12 months, according to the our latest Capital Confidence Barometer findings. With 78% expecting the insurance M&A market to improve, it would appear that healthy dealmaking will continue into 2019.
Although sector convergence and legacy consolidation remain key drivers of M&A, investment in, or acquisition of, InsurTech companies is the quickest way to access emerging digital ecosystems.
While 63% of insurance companies expect to close more deals in the next 12 months, they remain highly disciplined; 96% of respondents say they’ve put the brakes on a planned deal in the past 12 months. One in five cited either competition or regulatory or government intervention as the reasons.