The 55th edition of Global Insurance Forum, organized by IIS – International Insurance Society and The Institutes took place between 19 June – 21 June in Singapore.
The event, considered one of the most important international forums dedicated to insurance and reinsurance industry, brought together in Singapore more than 400 insurance leaders, as well as government officials, rating agencies, industry leading experts and professional associations. XPRIMM Publications are Media Partner of the Forum.
You can read speakers’ main statements below.
DAY 1 MAIN STATEMENTS
The importance of innovation in insurance industry
CEO, IIS – International Insurance Society
In Asia, growth and innovation are more active than anywhere in the world
Our theme this year is “Insurance Reimagined: Global Issues – Asian Insights”. We believe that we are experiencing “Insurance 4.0”, an epochal change in our industry analogous to, and contemporaneous with the 4th Industrial revolution. We are not merely introducing more new products or adding distribution channels.
We are re-examining the basic concepts of risks: defining risk in the new world of interconnected devices and social change, and finding better ways to manage it while providing the policyholder with a new and better customer experience.
Managing Director, AM Best
Insurers agree innovation is critical for future success, according to a survey conducted in August 2018
The primary reason innovation is important to your organization – Addressing customer needs (22%), gaining a competitive advantage (21%), realizing operational efficiencies (16%)
Three most important challenges that innovation can help insurers overcome: – system/ process inefficiencies, disruption of business model, underwriting risks
There are three main structural changes taking place that drive the idea of innovation: Demographic shifts (defined benefits/ pensions disappearing, healthcare becoming more expensive, gig economy becoming more prevalent, collaborative consumption trade), Climate-related trends (weather events increasing in severity, migration to coastal regions, urbanization leading to topological changes), technology (cloud computing, IoT, Big Data, Artificial intelligence / machine learning, blockchain)
Leadership can be a driver of innovation success or a cause of innovation failure and thus has a direct influence on the other sub-components in the innovation assessment.
President and CEO, The Institutes
The industry research “What keeps the C-Suite up at night” underlined 37 concerns grouped under five major issue-areas – Economic, political & legal, social & environmental, technological, operational
The main economic concerns are related to economic development, low investment yields, recession, inflationary environment
Political and legal concerns – regulation, political instability, new sources of liability, protectionism, taxation, terrorism, threat of nationalization
Operational business – cybersecurity, innovation, growth, data analytics, competition
Technology – digitizing customer relationship, updating legacy systems, autonomous vehicles,
Social and environment – healthcare, aging and changing demographics, natural disasters and climate change
The biggest concerns (from all the areas) are cybersecurity, economic development, low investment yields, regulation, political instability, innovation, digitization and customer relationship
President and CEO, AXIS
The political and regulatory burden continue to increase. We spend millions to prepare for Brexit and we have no idea on what climate we will work. At the same time, there are new risks that appear: cyber, climate related.
This period offers great opportunities for our industry – we are the safety net of the society. We should be proud to be part of the insurance industry. We should not wait for the consumers to be ready for us, we should come and meet their needs.
Chairman, International MMC
The cyber risk is becoming more and more tangible.
The AI will have a big effect on jobs. People will want/need to work longer, but we do not know if they will have where, due to the AI impact
In 10 years, the companies will be digital, which will make the industry more efficient, the operational costs will decrease, and we will have almost just the premium costs.
CEO, PEAK Re
The changes in Asia are so big and are coming so rapidly, that every day you are learning something new. Insurance in Asia is growing very fast, surpassing the GDP development.
A fear factor is related to the aging population, including in China. The question is if China will become rich fast enough, before becoming old?
Group Chief Strategy & Corporate Development Officer, AIA Group
The population is getting older, we have the capacity to keep people alive for more time, at the same time, the population is getting sicker, the general health condition is decreasing. In the next years, we will have old sick people, with no savings. We, as an industry, can create programs to improve the health condition of the population.
CEO, PRUDENTIAL Singapore
The changing in the demographics and in the population structure are changing the life insurance industry. These are bringing lots of opportunities to the life insurance industry. We need more engagement with the customers.
President & CEO, AIG
The best of times or the worst of time for the insurance business. We should see it as the best of times, as risk is blooming
Cyber is a troublesome risk, because it is constantly evolving, it is truly a global peril. There are also state actors, who are in a sort of cyber war. Cyber will consume all the capital we have, this is why ILS should be put at work on this issue.
We are not everybody’s favourite industry and we should look in the mirror and see who we are, to analyse and to see what we can change…