Technology, regulatory trends and evolving risks are among the disruptive forces challenging brokers’ preparedness, a report released today at the NIBA Convention finds.

The paper – Ready or Reacting? Shaping the Future of the Insurance Broking Profession – says 83% of survey respondents expect technology and automation advances to have a significant impact by 2035, but only 61% feel prepared for this. 

About 86% of respondents think increased regulation is likely or very likely by 2035; 62% feel their business is ready. 

And 76% believe brokers need to expand into new risk domains to remain relevant, with 64% feeling prepared to navigate the rapidly evolving landscape.

Preparedness gaps also exist around industry consolidation, product innovation, expectations for brokers as strategic advisers, education uplift, and workforce changes amid an ageing cohort and skills shortages.

“This research is a clear call to action,” National Insurance Brokers Association CEO Richard Klipin said.

“Our commitment is to help brokers build capability, elevating professional standards and advocating for a policy environment that supports innovation and the broking value proposition for clients and communities.” 

The report, produced in partnership with Community Broker Network, draws on insights from CoreData and sector quantitative and qualitative data.

More than 400 brokers were asked their views across eight areas. 

CBN CEO Richard Crawford said: “This report challenges us to look beyond the day-to-day and ask the deeper question: are we prepared for the future we’re heading towards? The broking profession must evolve and not just react to remain relevant and impactful.”

NIBA says companies with greater digital integration show more readiness across the disruption areas, and brokers that “lean into technology, education and strategic advisory will thrive in 2035 and beyond”.

The pursuit of scale and efficiencies, digital transformation, and rising technology and compliance costs are expected to drive industry consolidation, with 69% of respondents saying it will have an impact, while 59% are prepared.

“The challenge for brokers will be to preserve personalised service and local trust while scaling operations to remain competitive,” the report says.

The paper is the first in a series NIBA plans to release this financial year. 

"Improved out of sight": the latest Insurance News magazine examines your responses to our annual worker wellness survey, and finds some reasons to be cheerful