Profitability Sustainability Address personal insurance needs and unlock new revenue streams with strategic partners. Higher claims costs, inflation and natural catastrophes increasingly difÏcult as carriers exit markets and raise rates have tightened profit margins for businesses and have in others, putting home sales in jeopardy. The number driven up personal insurance rates for consumers, forcing of potential buyers backing out of the lending process 3 companies to rethink their strategies as they deal with before they close is at an all-time high, primarily due to economic challenges and shifting consumer behavior. affordability issues. Forming a strategic partnership that addresses challenges in the personal insurance marketplace can benefit both a To minimize impact to the bottom line, companies should company and its clients. Providing a simple, intuitive way pursue strategic partnerships that fill their customers’ to shop for and buy personal insurance opens new revenue need for more personal insurance support while helping to streams for the business and adds value for clients. build a diversified revenue stream. Consumers are feeling squeezed by rising insurance premiums. In 2025, auto premiums are expected to rise as 1. VIU by HUB, “2025 Personal Insurance Marketplace Rate Guide,” much as 5% while homeowners premiums may grow by December 3, 2024. 1 — especially in high-risk areas vulnerable 2. Deloitte, “State of the US Consumer: September 2024,” September more than 15% 30, 2024. to extreme weather events. As total housing expenses 3. Redfin, “Redfin Reports Existing Home Sales Rose 0.6% Last increase, consumers may be forced to search for cost- Month, But Were At the Lowest July Level on Record,” August 19, 2024. 2 saving opportunities in other categories. Rising insurance premiums have additional implications for the real estate industry. Securing home insurance, particularly in disaster-prone areas, is becoming Case Study A mortgage servicing company partnered with VIU by HUB to integrate personal lines insurance into their customer offering, particularly for clients in disaster-prone areas like Florida. This streamlined process allowed clients to secure home insurance through VIU alongside their mortgage products, improving customer satisfaction and reinforcing the mortgage servicing company’s role as a reliable, all-in-one financial partner. As a result of the strategic partnership, the mortgage servicer earned a percentage of the revenue — creating a new revenue stream and increasing profitability. 33