Adapt—or be overtaken
The insurance industry needs to become more diverse if it’s to avoid being left behind by the rest of the economy, according to a panel discussion at the Intelligent InsurTECH Europe 2018 conference in London today.
The topic ‘Build a workforce fit for the digital economy—what does it take to acquire and retain a talented, diverse and inclusive company’ was debated by a panel of experts including Sam White (CEO of Pukka Insure), Gareth Eggle (founder and principal of Eggle Consulting), Justine Lutterodt (director of the Centre for Synchronous Leadership), and Rupal Kantaria (strategic advisor for Social Impact and co-founder of Mission INCLUDE at Oliver Wyman).
The panel agreed that it is important for some companies to take a risk in becoming as diverse as possible. However, it also agreed that the industry first needs to overcome the inertia of the past, especially as the London Market is dominated by Lloyd’s of London, a place that has heritage and history and a tendency to hang on to it.
This could mean that insurance is left behind, as the modern business culture changes at a rapid rate, and a risk-averse culture tends to be slower to respond.
According to the panel, the insurance industry needs to look beyond any perceived inherent biases and instead to hire whoever is the right fit for the job, and look at the skills that candidates bring to the market.
The panel admitted that most people have limitations which include both conscious and unconscious biases, and that a refusal to admit such biases exist might lead to a company’s becoming inflexible and unable to adapt.
This potential lack of flexibility in terms of looking at new risks means the market might be caught in old underwriting boxes and refuse to cover a person, whereas a company such as Amazon might be fine with it and potentially steal a growing share of the market as a result. The panel stressed that the challenge posed by new giant tech giants such as Amazon or Google must be faced—and quickly.
The panel said that in terms of recruitment, it is increasingly important to be inclusive and level the playing field in terms of who they employ. If companies make employees feel comfortable then this should also make them feel creative.
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