Classes based on the appreciation
of the Insurance Industry Context
Despite the unique role of risk transfer
that insurers play in economies across the globe, like other businesses,
insurers are investigating ways to adapt their business strategies to
accommodate their way of working in light of the future of work whose arrival has
been fast-tracked by the pandemic. In their conversations with insurance
clients, the insurance practices of the likes of Deloitte, PwC, and KPMG have
identified seven major post-pandemic concerns for insurers:
- Repricing
risks
- Acceleration
of digital transformation
- Impact
of the pandemic on brokers and agents
- Bolstering
balance sheets
- Getting
employees back to offices and/or developing hybrid work options from the employee
- Employee
wellbeing
- Greater
adoption of ‘telematics’ devices that capture policyholder driving behavior
Focusing specifically on the South
African insurance industry, a
recent McKinsey report
identified “Seven big moves [that] could help insurers navigate the crisis and
thrive in the long term.”
- Prioritize
a digital-first approach for customers and intermediaries
- Adopt
advanced-analytics-based decision making
- Reinvent
the operating model for speed and cost
- Strengthen
cyber resilience and operational-risk defenses
- Double
down on talent, including through acquisition of other companies
- Develop
an ecosystem approach through partnerships
- Consider
mergers & acquisition opportunities
