M&A appetite remains strong as insurance executives look for assets to address technology, convergence and activist shareholders
Technology also features as a main strategic driver, along with sector convergence and the response to changing customer behavior, as 71% of insurance executives say they will actively pursue M&A in the coming year.
However, in addition to the opportunities M&A presents for insurance executives, it also poses a host of risks. For an acquisition or merger to create value, the combination of the buyer and seller must become more than the sum of the parts. To realize the potential of their transactions, insurance executives will have to quickly address risks while seizing opportunities and synergies. To help them do this, insurance companies may want to develop leading-practice M&A playbooks and assemble dedicated M&A teams within functions.