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DUBLIN--(BUSINESS WIRE)--Nov 21, 2022--
The "Insurance Third-party Administrators Market - Growth, Trends, COVID-19 Impact, and Forecast (2022 - 2027)" report has been added to ResearchAndMarkets.com's offering.
Third-party administrators (TPAs) provide claims administrative services to businesses. Many serve mid-sized or large companies that have opted to self-insure a portion of their liability, commercial property, or workers' compensation risks. They may also administer claims for businesses that have self-funded their health, dental, or other benefit plans. TPAs range in size from very small to large companies.
Some TPAs are building the requisite capabilities in talent, technologies, and data to address the changing needs of the insurance industry, but most TPAs lag. The Y-o-Y revenue growth slowed down for most TPAs in the United States. Due to the pandemic, this decline may also continue in the current year.
While the TPA industry has multiple drivers, such as service expansions and carrier outsourcing, several impending challenges restrict growth opportunities. Most of the digital-led use cases implemented by TPAs are less sophisticated compared to the use cases implemented by insurance IT providers or business process outsourcing providers.
Key Market Trends
The US Insurance Third-party Administrator Market is Growing
The US insurance third-party administrators market has a low concentration level and a high level of fragmentation.? The primary negative factor affecting the US industry is high competition, while the primary positive factor is low revenue volatility. With increasing disposable income levels, consumers are buying cars, homes, and other assets that need insurance. Higher per capita disposable income enables individuals and households to expand coverage as they can afford higher health, life, property, and casualty insurance premiums.
Market Trends of Health Insurance TPAs in the GCC Region
Third-party administrators are prominent players in the healthcare industry and have the expertise and capability to administer all or a portion of the claims process. In GCC, mandatory health insurance law was applied. By 2017, mandatory health insurance got fully applicable in Dubai and Abu Dhabi. Many small insurers in GCC are increasingly opting for TPA support. Smaller insurance companies have a traditional way of operating and have TPAs fill in the gap by providing the support required to digitize, as per DHA norms. About 98% of health insurers in the region outsource to TPAs. Among the 23 TPAs in Dubai, seven companies control most of the business, i.e., about 90%.
Key Topics Covered:
1 INTRODUCTION
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
5 MARKET SEGMENTATION
6 COMPETITIVE LANDSCAPE
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
8 DISCLAIMER
Companies Mentioned
For more information about this report visit https://www.researchandmarkets.com/r/dv8gib
View source version on businesswire.com:https://www.businesswire.com/news/home/20221121005421/en/
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KEYWORD:
INDUSTRY KEYWORD: INSURANCE PROFESSIONAL SERVICES
SOURCE: Research and Markets
Copyright Business Wire 2022.
PUB: 11/21/2022 05:55 AM/DISC: 11/21/2022 05:56 AM
http://www.businesswire.com/news/home/20221121005421/en