In the modern age, digitalization covers all aspects of human life. In addition to changing consumer behaviors and habits, it consequently changes the business of the company. This paper explores the preferences of the insured's sales channels on the Croatian market and the impact of different variables to the choice of sales channels. The paper is based on primary and secondary data sources. The primary sources of data are related to the questionnaire which examines the attitudes of the insured about their preferences when they are choosing distribution channels for different types of insurance product. Secondary sources of information include websites, scientific and professional articles, university textbooks, papers by domestic and foreign authors, and numerous studies conducted. The methods used in the first part of the paper are synthesis and analysis method, generalizations, descriptive method and classification method. The second part of the paper used the questionnaire survey method. The paper is consisted of several sections. The first part of the paper describes the concept of insurance and its basic elements, explains the sales channels in insurance and shows the used sales channels in the EU market. The second and central part of the paper deals with digital technology in insurance and its application in sales, as well as the challenges in the future that insurance companies must accept in their business. Chapter 4 presents the research findings. At the end is the conclusion of the paper. According to the research, the dominant sales channel in the Croatian market is direct sales through employees in insurance company. It is important to emphasize that the insurance product, along with other variables, influences the choice of sales channels. New distribution channels, such as, insurance company websites and B2B channels, represent potential sales developments in the future. Incentives to make insurance policies through new channels are those related to speeding up the processing of claims and offering discounts on smart devices by insurers. The most important function for a successful insurer's business is sales. Alignment of sales with changes, coming from the environment, insurers gain a competitive advantage and added value for the consumer and the business.