Personal lines insurers are evolving their business models in response to consumer-led pressures, according to a new study by Hartford’s Conning Research & Consulting.

The Conning Research study, "Consumer Trends in Personal Lines Insurance: Preparing for Tomorrow’s Market" reviews ongoing consumer trends, resulting insurer response and opportunity, and discusses expected changes through 2015.

"Changes in consumer preferences and behaviors have accelerated in recent years, and likely will for the foreseeable future, thanks in large part to demographic, economic and technology impacts," said Alan Dobbins, analyst at Conning Research & Consulting. "Information flow has increased significantly, and consumers are willingly trading privacy for empowerment. Consumers now have the ability to shop price or opt for usage-based coverage to reduce their costs, and carriers have much more behavioral information available to set rates appropriately and compete for new business."

"Keeping pace with the myriad changes to consumer makeup and preferences is a challenge for personal lines insurers, but now represents table stakes for the national carriers," said Stephan Christiansen, director of research at Conning. "The continuing shift to direct distribution is changing the relationship with the insured and the expectations for service and communication. Resolving the tensions arising from the rapidly evolving relationships represents a significant opportunity for leading firms."