A critical examination of the advantages and disadvantages of E-Insurance and how they explain its small penetration in the Greek Market

E–insurance covers the web–based enterprises from attacks; it offers data protection, coverage for loss of intellectual property and commercial property insurance programs. The terms and the conditions of the insurance packages are set out via the internet. Besides, the insured receives the contracts and the compensation online. The purpose of this paper is twofold:first, to provide a critical examination of the main advantages and disadvantages of the e–insurance. More specifically, we point the great facility it offers to customers as regards to its operational hours and the fact that the insurance became accessible to everyone. On the other hand, the greatest obstacles for the growth of the e–insurance systems are related with the absence of a single legal framework in a global level, with the required technology, the insufficient operational processes, the difficulty to determine the value of the confidential data, the fact that the users are cautious about the security that is offered and the difficulty in the communication between all participants.Second, to investigate the degree to which these advantages and disadvantages can explain the small penetration of the e–insurance in the Greek Market. To accomplish this, we have considered the evolution of insurance and e–insurance in Greece and the cases of Greek web sites which provide insurance services. This analysis enables us to explain the low penetration of the e–insurance in Greece and proposes the required actions that should be taken by the Greek insurance companies, which provide insurance services online, to be competitive.