Re/insurers must make it their priority to better understand cyber risk and absorb more of this liability—serving a vital role for society and generating growth for the industry in the process, Doris Höpke, member of Munich Re’s board of management, told Baden-Baden Today.
As carriers reassess their priorities and refocus on making underwriting profits, the use of technology and data science will become key to achieving this, and give companies with these capabilities an advantage, Pina Albo, chief executive of Hamilton Insurance Group, told Baden-Baden Today.
Macro sector trends such as rising yields and claims inflation will form the background for the next phase the re/insurance markets will enter, David Flandro, global head of analytics at JLT Re, told Baden-Baden Today.
Short-term trading and the buying of live catastrophe coverage could become much more prevalent with the advent of real-time data—but it is still early days, Luzi Hitz, chief executive officer of PERILS, told Baden-Baden Today.
Distributed ledger technology—blockchain—will level the playing field in the insurance market, but this is probably one of the main reasons it is being held back from more widespread adoption, George Freimarck, managing director of Xceedance Europe, told Baden-Baden Today.
The infancy of historical claims data is perhaps one of the biggest hurdles for cyber risk modelling, but the advent of probabilistic modelling is a step in the right direction and can help the industry better manage the risk globally.
The potential of insurtech is vital to the strategy of Hiscox going forward as its influence will permeate every part of the business and its offering to customers, according to Adam Szakmary, director of underwriting (Bermuda), Hiscox Re.
It might be a complex and difficult challenge for large, incumbent carriers to embrace new technology, but they must find a way to do it if they are to compete going forward, said Dylan Bourguignon, chief executive of so-sure, an insurtech company offering mobile insurance and which returns a percentage of the premium to customers if there is no claim.
Keeping pace with developments in insurtech and attracting and keeping the best talent are high on the agendas of executives attending Baden-Baden this week, according to an online survey carried out by Intelligent Insurer ahead of this renewals season.
The challenge of how to respond to insurtech is one of the biggest concerns of top executives in the industry, according to a survey conducted earlier this year by AdvantageGo, part of NIIT Technologies.