2018 Insurance Outlook
Shifting strategies to compete in a cutting-edge future
The accelerating evolution in the eway business is conducted is being driven by innovation and higher customer expections, emboldening the insurance industry to transform standard operating procedures and business models to improve top line revenue and bottom line profitability. In this report, we pinpoint key opportunities and threats that should demand attention from insurers over the next 12-to-18 months and offer suggestions on what could be donte to respond proactively.
1. Life and annuity carriers look to break the mold on underwriting and distribution. Partnering or aligning with and/or purchasing InsurTechs to expand digital capabilities create a more innovative culture, and accelerate disruption of standard business processes.
2. Technological upgrades drive added value and bring new risks for auto insurers and Internet of Things (IoT) shifts value proposition for homeowners’ carriers. Technology objectives and macroeconomic factors should reboot M&A activity.
3. Cyber risk regulations set new standatds for insurers. The Chief Information Security Officer (CISO) and the Chief Compliance Officer (CCO) will likely need to get more involved in cyber risk management issues, recruiting qualified talents and bolstering in-house capabilities.
4. Robotics and artificial intelligence help insurers do more with less. Accelerating deployment of Robotic Process Automation (RPA) and Cognitive Intelligence (CI) throughout operations, and automate routine, transactional, rules-based functions to free up both talent and capital for more complex tasks.