Unlock the strategic power of partnerships in insurance has been saved
Perspectives
Unlock the strategic power of partnerships in insurance
Finding opportunities for profitable growth across the insurance value chain
Today’s insurance industry faces structural shifts driven by macroeconomic pressure, changing customer preferences, and technical advancements. How can carriers keep pace in this challenging environment? Our report explores how a comprehensive partnership strategy can help carriers quickly adapt and realize value across the insurance value chain.
Finding opportunities to profitable growth across the insurance value chain
Entrenched challenges leave many carriers poorly positioned to compete alone. Building or acquiring new products and capabilities is time-consuming, risky, and capital-intensive. Partnerships provide carriers with the speed to meet customer demands and flexibility to adapt in the current macroeconomic climate. This article takes a deeper look at opportunity areas across the insurance value chain—from product development to claims; explores the internal and external forces shaping the insurance market; and outlines the steps insurers can take to realize the full benefits of strategic partnerships.
Unlocking the strategic power of partnerships in insurance
How to unlock the value of strategic partnerships
When analyzing the key values insurers realize from partnerships across the value chain, we broadly see three focus areas emerge: partnerships that enable sales and distribution, bring new or complementary products to market, or provide enabling capabilities.
Understanding the primary focus area of an individual partnership helps insurers look at their partnership network as a portfolio, rather than a group of one-off relationships. This enables carriers to unlock more value and establish streamlined partnership management processes. Three benefits to categorizing partnerships include:
- Creating a balanced partnership portfolio.
- Standardizing partnership management.
- Informing partnership structures.
Next steps to realize value
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Identify strategic goals
It’s important to define enterprise strategy before considering how partnerships can enable strategic goals. Carriers should prioritize partnership opportunities that enable them to execute on their strategy and then evaluate partners who best fill critical gaps.
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Design a partnerships capability
Strategic partnership management is a core capability to invest in to realize value. Carriers must build organizational muscles around scouting partners aligned with strategic goals, prioritizing partners, and contracting and managing performance.
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Measure success
Partnership functions have a unique opportunity to enable carriers to innovate. Effective organizations will set strategic goals alongside the business, have mechanisms in place to measure success, and continuously course-correct based on data.
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The path forward
The insurance industry is rapidly transforming as it adjusts to macroeconomic uncertainties and evolving customer preferences. Partnerships offer a fast and flexible route to market for innovative products and business models and create opportunities for carriers to better serve customers. However, value capture requires carriers to be strategic about their partnership management processes—including investing in partnership capabilities.
Read the full report to learn how to unlock the strategic power of partnerships.
Get in touch
 Puneet Kakar Principal Deloitte Consulting LLP pukakar@deloitte.com |
 Manmeet Singh Bawa Senior Manager Deloitte Consulting LLP msbawa@deloitte.com |
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