Swisscom’s Diversification: Expanding into Insurance as an IT Service Provider

In recent years, Swisscom has been expanding its business beyond telecommunications and into the IT service sector. Now, the company is poised to take on a new venture as an insurance broker with the launch of “Swisscom sure.” This new offering includes liability, travel, motor vehicle, and pet insurance among others, provided through cooperation partners such as Zurich and ERV.

Dirk Wierzbitzki, head of the private customers department, clarified that Swisscom will not be the primary insurer but will act as an intermediary for insurance products. The company aims to meet customer needs for simplicity, clarity, and flexibility in insurance coverage. This move aligns with Swisscom’s goal of providing comprehensive services to its customers and building upon the popularity of existing device insurance options.

The expansion into insurance may raise concerns about competition and market distortions. However, Swisscom is positioning itself as a digitalization partner in Switzerland. The federal government has supported the company’s growth strategy despite calls for privatization to address issues of competition and market fairness. As Swisscom continues to diversify its offerings, it will be interesting to see how the insurance sector fits into its overall business model and strategic objectives.

In summary, Swisscom’s expansion into new business areas has led them to become an IT service provider and now an insurance broker. With their new offering “Swisscom sure,” customers can access insurance services in addition to traditional telecommunication offerings. The company aims to provide comprehensive services to customers by meeting their needs for simplicity, clarity, and flexibility in insurance coverage while positioning themselves as a digitalization partner in Switzerland.