By Sabine VanderLinden

The insurance industry is facing an unprecedented number of business challenges brought on by a harsh economy, low investment returns, increases in claims and fraud, and greater consumer and agent expectations. P&C carriers are under pressure to sustain profitability. They have been hit with low investment returns that are not sufficient to offset major underwriting, and several years of soft-market pricing. To improve profitability, their focus must shift toward increasing customer retention and growth.

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