In part 4/5 of Intelligent Insurer's CEO forum, we asked our ten industry leaders about their views on the long term future of the market.
As the lines between insurers and reinsurers become increasingly blurred, what does that mean for the market in the long term?
Amer Ahmed, CEO, Allianz Re: “I would characterise our business in three main components: distribution, risk intelligence and risk-taking capital. Capital is coming from different sources and certainly there’s a blurring between capacity providers. Ultimately risk will find itself to the most attractive capital. Risk intelligence is where insurers and reinsurers have unique knowledge, capabilities and expertise and to be successful this is where differentiation will be key.”
Eric Andersen, CEO, Aon Benfield: “I have used this analogy on a couple of occasions recently, but I think it holds true—the different forms of capital are no longer staying in their own swim lanes. Capital is continually pushing to be closer to the ultimate buyer—to trade further down the chain, which is both a challenge and an opportunity for the broker. For Aon, it is important that we are able to operate on all sides of the equation—from retail to reinsurance, retrocession, and alternative capital—in order that we can introduce capital to clients as and where it is needed. We are optimistic about these changes. This type of market disruption, when capital is pushing to get to the ultimate buyers of our products and services, creates an environment where, if we are smart and nimble, we can accomplish great things for our customers. It does challenge the traditional roles of our business but those that are flexible and keep an eye on the benefits should do well in this market."
CEO forum, reinsurance, SCOR, Aon Benfield, Munich Re, Swiss Re, Allianz Re