Amazon distributes e-books on iPads. Samsung supplies smartphone screens to Apple. “Coopetition” is nothing new in the business world. In fact, new partnerships are constantly forming that ultimately end up being beneficial to both parties.

Executive Summary

"Coopetition" is nothing new in the business world, so it's not surprising that digital insurance carriers are now seeing benefits from distributing through the independent agent channel, writes Agentero CEO Luis Pino. Here, he discusses four steps that digital carriers should take to make sure they get the most of agency partnerships. Among them: ensure there are no trust issues and that agents understand that they own their data and customers.

So, it should be no surprise that digital insurance carriers—initially thought to signal the disruption of agents—are now seeing benefits from distributing through the independent agent channel. Even those not currently partnering with agents are taking another look at agents as a critical last mile to important consumer and business segments.

The numbers tell the story. Despite forecasts that predicted the end of independent agents, this distribution channel has remained resilient. Agents sell over 50 percent of overall premiums—a higher share than ever before—and this share continues to grow. Why? Because insurance is a complex product. Customers need help understanding their risk profiles and running through all of the hypothetical situations that could impact them. Agents act as trusted advisers who are experienced in risk and insurance products and can direct the consumer down the right path.

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