Growth drives insurance distribution intermediaries’ priorities in 2025

WINDSOR, Conn. and WASHINGTON, March 3, 2025 — More than 8 in 10 insurance distribution intermediaries — independent marketing organizations and brokerage general agencies — say their top business priorities are to increase sales of current product offerings and expand their network of financial professionals.

According to the new report, Inside the Intermediary 4.0: A LIMRA-NAILBA Study — BGA and IMO Survey Results, half of intermediaries (47%) are planning to invest in advanced sales support and underwriting to support their associated producers and drive sales growth. Another 4 in 10 report they will invest in wholesaling support and new business prospecting.

“Intermediaries have an increasingly important role in our industry and play an essential role with independent financial professionals by helping them build and grow their practices, and act as the expert go-between for financial professionals and carriers,” said Bryan Hodgens, senior vice president and head of LIMRA research. “Independent distribution accounts for more than half of retail life insurance and a substantial amount of the annuity business comes from the independent brokerage channel annuity sales. The success of these producers is largely because of efforts and investments made by intermediaries. This research offers critical insights into the evolving intermediary landscape, which is shaping the future of the life insurance industry.”

Beyond sales support investments, intermediaries report building specific programs to offer practice and marketing support, including how to target market segments, greater investment in digital services (e.g., e-delivery, e-application, e-signature), and coaching on team building and succession planning.

The latest in-depth study, conducted jointly by the National Association of Independent Life Brokerage Agencies (NAILBA) and LIMRA, highlights how BGAs and IMOs are adapting their business models, leveraging new tools, and responding to emerging consumer needs. Another aspect of growth uncovered is the effort to expand. The study finds more than half of intermediaries expecting an average of 21% growth in 2024 over 2023. Intermediaries report most of the growth is from partnerships with registered investment advisors, followed by property and casualty agencies.

“Understanding the evolving trends of the intermediary space is crucial for our members. NAILBA is committed to providing the knowledge and resources they need to thrive in a rapidly changing industry,” said Warren May, NAILBA leader. “This collaboration with LIMRA delivers valuable insights that will help the brokerage community better understand market trends and position themselves for success.”

To learn more about the findings and their implications, visit: Industry Insights With Bryan Hodgens: How Intermediaries Help Financial Professionals Grow Their Practice.