It's been almost 700 years since the first insurance contract was issued, yet it's only in the last few years that technology and new competition have fundamentally rewritten the way the sector operates.
This transformation is a key risk for insurers. Our research, conducted in partnership with the Centre for the Study of Financial Services Innovation, has revealed that change management, technology and competition are the biggest risks insurers locally are facing. While each of these risks will play out in their own way, it's where these different areas combine that insurers have to focus. The rise of InsurTech start-ups sits at the intersection of technology and competition and is driving much of the change in strategy for the sector.
Other main risks for the sector include:
That's why we've created a mini-report for board members that analyses how these risks will affect the board room. For each of the top five risks the sector is facing, we've proposed a question that board members should ask their senior leadership teams.