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Monday, September 16, 2024 – 6:37 p.m.
| Par Jonathan Blondelet
The 2023 report on registrations at Orias marks a clear decline in numbers, for the first time since the organization was created. A reflection of the upheavals experienced by the profession, regulatory or linked to the economic context.
The organization for the single register of insurance, banking and finance intermediaries (Orias) delivered its annual count of the populations of these professions on September 16.
While 2022 marked the end of the growth in the number of intermediaries, 2023 is marked by a decline. As of December 31, 2023, there were 116,938 registrations, compared to 119,777 in 2022, or 69,277 intermediaries compared to 71,163 the previous year, knowing that the same professional can combine several types of intermediation.
End of continuous growth
“This 2.6% decline is a first since the creation of Orias,” notes Richard Restuccia, president of Orias. Until 2021, the workforce was constantly increasing: between 2020 and 2021, it grew by 6%.
Intermediaries in banking operations and payment services (IOBSP) have seen a 4.4% drop in their population (33,606 registrations), linked to the plunge in those of brokers in banking operations and payment services (COBSP) by 9.6% (6,294 registrations) and agents of intermediaries in banking operations and payment services (MIOBSP) by 8.1% (14,369 registrations). Only the population of exclusive agents recorded positive growth at 2.2% (3,884 registrations), linked to network movements.
Stability of general agents
The drop in the number of insurance intermediaries (IAS) is less pronounced than that of IOBSP, by -2% for a contingent of 61,069 professionals. “This phenomenon is linked to the reform of brokerage for insurance professions, and to the economic situation for credit professions,” says Richard Restuccia.
General insurance agents are showing stability as usual, with an increase in line thickness: +0.2% for 11,747 general agents. The population of insurance brokers is falling slightly, by 0.6% (26,722 registrations), “a sign that the profession has been able to pass the brokerage reform”, believes Jérome Speroni, secretary general of Orias.
Conversely, that of insurance intermediary agents (MIAS) is taking a hit, falling by 4.2% (28,972 registrations). “Registrations are more volatile and reactive to business,” continues Jérôme Speroni. The drop in credit can also have an influence since some IOBSPs are also MIA to offer borrower insurance.”
Good weather for CIF and Alpsi
The populations of financial investment advisors (CIF) and tied agents of investment service providers (Alpsi) were spared by the crisis, recording respective growth of 5.5% (6,710 registrations) and 5% (4,159 registrations).
“A sustainable growth trend is emerging for these categories, linked to a renewed societal interest in the savings-retirement-financing triptych,” assures Jérôme Speroni.
Finally, there are only 106 crowdfunding intermediaries (IFP) left, a decrease of 22.6%. These are the logical consequences of the European reform on crowdfunding, which has removed the status of participatory investment advisor (CIP) and restricted the scope of the missions of IFPs in favor of the status of participatory financing service provider (PSFP). The latter are registered on a dedicated European register and no longer with Orias.
Uncertain future
The inflationary context and the catch-up effect of “whatever it takes”, artificially perpetuating “zombie companies”, have caused record business failures in 2023 (+8% compared to 2019) and 62,000 are anticipated for 2024.
While intermediaries are not sure of escaping this tidal wave, there is nevertheless reason to hope: as of September 1, 2024, Orias counted 114,867 active registrations, compared to 113,254 as of September 1, 2023. “The MIOBSP and MIA categories are among the most dynamic with the CIFs,” says Jérôme Speroni.
For the future of the insurance, banking, and finance industry?
The Decline of Insurance, Banking, and Finance Intermediaries: A Shift in the Industry
The latest report from Orias, the organization for the single register of insurance, banking, and finance intermediaries, reveals a concerning trend in the industry. For the first time since its creation, the number of registrations has declined, marking a significant shift in the profession. As of December 31, 2023, there were 116,938 registrations, down from 119,777 in 2022, representing a 2.6% decline.
End of Continuous Growth
The growth of the workforce in the insurance, banking, and finance sector has been a consistent trend until 2021. However, the latest report signals a reversal of this trend, with the number of intermediaries decreasing by 69,277 to 71,163. This decline is attributed to various regulatory and economic factors affecting the profession.
Decline of Banking Operations and Payment Services
One of the most significant declines was seen in the population of intermediaries in banking operations and payment services (IOBSP), with a 4.4% drop in registrations. This decrease is largely due to the decline in brokers in banking operations and payment services (COBSP) and agents of intermediaries in banking operations and payment services (MIOBSP).
Stability of General Agents
In contrast, general insurance agents have maintained stability, with a slight increase of 0.2% in their population. The population of insurance brokers has also remained relatively stable, with a minor decline of 0.6%. The insurance intermediary agents (MIAS) category, however, has experienced a significant decline of 4.2%, which can be attributed to the volatility of business and the impact of credit.
Bright Spot for CIF and Alpsi
On a positive note, financial investment advisors (CIF) and tied agents of investment service providers (Alpsi) have recorded growth of 5.5% and 5%, respectively. This increase is attributed to a renewed societal interest in the savings-retirement-financing triptych.
Uncertain Future
The decline in registrations is a cause for concern, and the future of the industry remains uncertain. The European reform on crowdfunding has led to a decrease in the number of crowdfunding intermediaries (IFP), and the industry is facing various challenges that need to be addressed.
What This Means for the Industry
The decline in registrations is a reflection of the upheavals experienced by the profession, regulatory or linked to the economic context. This trend may lead to a consolidation of the industry, with companies adapting to the new landscape. The stability of general agents and the growth of CIF and Alpsi are positive signs, but the industry needs to address the challenges facing it to ensure a sustainable future.
Key Takeaways
The number of registrations at Orias has declined for the first time since its creation.
The decline is attributed to various regulatory and economic factors affecting the profession.
General insurance agents have maintained stability, while insurance brokers have experienced a minor decline.
Financial investment advisors (CIF) and tied agents of investment service providers (Alpsi) have recorded growth.
The future of the industry remains uncertain, with the need for companies to adapt to the new landscape.
Frequently Asked Questions
What is Orias?
Orias is the organization for the single register of insurance, banking, and finance intermediaries.
Why has the number of registrations at Orias declined?
The decline is attributed to various regulatory and economic factors affecting the profession, including the reform of brokerage for insurance professions and the economic situation for credit professions.
Which categories have recorded growth?
Financial investment advisors (CIF) and tied agents of investment service providers (Alpsi) have recorded growth of 5.5% and 5%, respectively.
* What does the decline in registrations mean
– What factors are contributing to the decline of insurance, banking, and finance intermediaries?
The Decline of Insurance, Banking, and Finance Intermediaries: What’s Next for the Industry?
As of September 16, 2024, the Organization for the Single Register of Insurance, Banking, and Finance Intermediaries (Orias) reported a significant decline in the number of intermediaries in these professions. This marks a first since the creation of Orias, with a 2.6% drop in registrations compared to 2022. In this article, we will explore the reasons behind this decline and what it means for the future of the insurance, banking, and finance industry.
The Numbers: A Reflection of Industry Upheavals
According to Orias’ 2023 report, there were 116,938 registrations as of December 31, 2023, compared to 119,777 in 2022. This decline is attributed to a 4.4% drop in intermediaries in banking operations and payment services (IOBSP), a 2% drop in insurance intermediaries (IAS), and a 22.6% drop in crowdfunding intermediaries (IFP).
End of Continuous Growth
Until 2021, the workforce in the insurance, banking, and finance industry had been constantly increasing. However, the report indicates that this growth has come to an end. Richard Restuccia, president of Orias, notes that this decline is a first since the creation of Orias.
Stability of General Agents
While the number of insurance intermediaries is declining, general insurance agents are showing stability, with an increase in line thickness of 0.2%. The population of insurance brokers is falling slightly, by 0.6%, which is seen as a sign that the profession has been able to pass the brokerage reform.
Good Weather for CIF and Alpsi
On the other hand, the populations of financial investment advisors (CIF) and tied agents of investment service providers (Alpsi) are experiencing growth, with respective increases of 5.5% and 5%. This growth is attributed to a renewed societal interest in the savings-retirement-financing triptych.
Frequently Asked Questions
- What is Ori
