Property and Casualty (P&C) Insurance BPS PEAK Matrix® Assessment 2025

The Property and Casualty (P&C) insurance industry is undergoing rapid transformation, driven by volatile market conditions, cost pressures, and increasing operational complexity. As insurers strive for profitable growth and agility, they are reconfiguring core operations and sourcing models to enable intelligent workflows, integrated ecosystems, and accountable service delivery. This shift has elevated the role of third-party providers in enabling front-, middle-, and back-office transformation through advanced technologies such as generative AI, cloud-native platforms, and data-driven decisioning.

This report explores how leading P&C insurers are embracing AI-enabled operating models and moving away from traditional FTE-based engagements. Providers are responding with outcome-linked deals, domain-specific accelerators, and a stronger focus on orchestration capabilities. As mid-tier and specialist firms gain traction, particularly in complex areas such as commercial lines and reinsurance, buyers are prioritizing flexibility, explainability in AI, and faster time to value. The report offers actionable insights for enterprise stakeholders navigating a rapidly shifting P&C insurance BPS market.