Transforming Adversity into Opportunity: The Need for New Technologies Fuels Insurance M&A

May 13, 2021

The COVID-19 pandemic has changed the way in which we interact with the world. From working, to shopping, to socializing, most aspects of our daily lives have moved to the online world. Consumers now expect effective online platforms for all goods and services, and businesses have been forced to adapt quickly.

The need for robust online technologies drove a number of large M&A transactions for enterprise technologies in 2020. While insurance companies have struggled throughout the pandemic, with share prices collapsing due to a rise in insolvencies, new technologies have the potential to transform the industry, driving a flurry of M&A activity in early 2021. For the reasons we discuss in this article, we expect this heightened M&A activity in the insurance sector to increase as the year goes on.