The Impact of the Implementation of the Internet of Things on the Insurance Sales Process and the Financial Performance of Insurance Companies - A Simulation of the Indirect Insurance Distribution Process in Poland

The article evaluates the implementation of Internet of Things (IoT) and telematics technologies in the insurance sales process carried out by intermediaries, and examines their impact on financial performance. IoT and telematics-alongside technologies such as blockchain and Big Data-represent some of the most significant tools in the digital transformation of insurance distribution. IoT and telematics enable the collection of essential insurance-related data through the use of mobile applications. As a result, insurance sales processes can become more efficient, leading to increased sales revenue and improved effectiveness of insurance intermediaries. The aim of the article is to simulate the insurance sales process using telematics and IoT technologies in an insurance agent’s office and to assess the impact of the results on the financial situation of insurance intermediaries. The simulation process was carried out using the free version of FlexSim 2024 software. The simulation results demonstrated the positive impact of implementing new technologies in the form of IoT-based applications. These solutions improved intermediary efficiency, increased the number of insurance policies concluded, and consequently had a positive influence on the financial performance of both insurance companies and agents. However, it should be noted that alongside the increase in revenue for insurance companies, there will also be a rise in costs related to the payment of due commissions to intermediaries and additional employees, which may, in turn, reduce the overall profitability of business operations.