New forces threaten the way insurance is bought and sold.
Like most industries, the Information Age is changing the face of insurance. The financial services industry poses its threat through direct competition. With the passage of the Financial Modernization Act of 1999, traditional barriers that were keeping financial services companies out of the insurance business have collapsed. To make the threat even more potent, many financial institutions boast years of loyalty from customers. The customer is already sold on the trustworthiness of the company.