Size of the employer group and type of commission are not definitive indicators of voluntary takeover susceptibility, according to Eastbridge Consulting Group
Half of carriers surveyed see no difference in takeover levels by case size while just over a third said takeovers are more common for larger case sizes.
AVON, Conn., May 07, 2020 (GLOBE NEWSWIRE) -- While in previous surveys most carriers noted that larger cases typically had higher takeover rates, Eastbridge’s 2020 Takeovers and the Voluntary Market Spotlight™ Report indicates this is no longer the case. Half of carriers surveyed see no difference in takeover levels by case size while just over a third said takeovers are more common for larger case sizes. In addition, most carriers do not see any difference in takeover rates when level or heaped commissions are paid on an existing case.
Overall, 89% of participating carriers have seen their takeover volume increase over the past three years and an equal percentage expect the volume of takeover business to increase in the next three to five years. Carriers noted a variety of concerns and challenges with takeovers but primarily focused on takeovers requiring changes to underwriting, benefits and rates, with these changes often creating increased administrative complexity and pressure on profitability.
The 2020 Takeovers and the Voluntary Market Spotlight™ Report provides additional commentary on the circumstances under which takeovers are more likely to occur as well as key insights on carrier preferences and attitudes towards takeovers. The report is now available for purchase for $2,500. For more information or to purchase the report, visit the report page by clicking here, e-mail [email protected], or call (860) 676-9633.
Eastbridge Consulting Group, Inc. is a marketing advisory firm serving companies focused on the voluntary/worksite benefits market in the United States and Canada.
FOR FURTHER INFORMATION, CONTACT:
Ginger Bates (803) 782-0560
