Soft market an opportunity to reinvent, Axa XL call for agility in Asia

A softer market leaves less room for pricing power but more to innovate and modernise how re/insurers work, lead and deliver long-term value across Asia, says Axa XL’s Sylvie Gleises. 

Key points:
Agility and local strength key in softer cycle
Regional diversity demands local strategies
Cyber and renewable energy key growth areas

Asia’s softening market is testing discipline but also unlocking an opportunity to rethink — use the pressure to modernise how you underwrite, how you operate, and how you show up locally for clients. That’s the message from Sylvie Gleises, regional chief executive officer, Asia at Axa XL.

“The market in Asia is going through a big softening cycle across lines,” she told SIRC Today. “It started about 12 months ago after a couple of hard-market years. It will stay for a while — so we need to adapt. Agility is absolutely key.”

“You can’t have one playbook [to drive business in Asia]”

Gleises oversees a vast and varied territory stretching from  India and Greater China to Japan, Korea, and Southeast Asia. She describes it as “not just diverse, but heterogeneous”, spanning mature markets such as Japan and fast-emerging economies like India— each with very different risk cultures and buying behaviours. “What drives business in Japan is a completely different conversation from Singapore, Thailand or India,” she said. “You can’t have one playbook for all.”

Building local strength

To bridge that diversity, Axa XL has expanded its footprint across the region, with teams in Mumbai, Singapore, Hong Kong, Shanghai, Malaysia and beyond. The focus is proximity: local language, networks and cultural fluency, underpinned by technical strength.

“It’s a people business,” Gleises said. “There’s a real scarcity of talent in technical roles such as underwriting, risk consulting and complex claims. We invest to attract, develop and keep the right people.”

That means Asia-specific training rather than generic global modules, leadership development tailored for softer market conditions, and mobility across roles and borders to deepen expertise and maintain continuity. “We spend a lot of time and money investing in people because trust takes time to build, and in Asia, that matters,” she said.

Listening, she added, is often more powerful than product-pushing. “If the client wants a cheeseburger and you sell a Big Mac, it won’t work,” she joked. “Our people on the ground, 16 nationalities across the region, understand culture, language and claims expectations. You can’t replicate that remotely.”

Resilience begins before loss

For Gleises, the value of insurance shows long before a claim. Asia’s rapid urbanisation, especially along coastlines, is reshaping exposure to wind, flood and secondary perils. “A site rated low-risk 10 or 15 years ago might look very different today,” she said. Axa XL’s risk-consulting and engineering experts help clients map exposures, benchmark sites and strengthen prevention. “I’d love to avoid the claim — resilience starts before loss.”

When losses do occur, local claims presence makes the difference. “The problem isn’t paying the premium; it’s getting value for money when you have a claim,” she said. “Local underwriters and claims teams bring speed, credibility and trust.”

Growth in cyber and renewables

Cyber is another area high on the regional agenda. Asia accounts for roughly a third of global incidents, driven by AI adoption, ransomware and supply-chain interconnectivity. “Cyber risk is one of the top concerns in Asia,” Gleises said. “It’s not only about cover, it’s about training staff, testing continuity plans and hardening both IT and operational systems. People are the first line of defence.”

Technology is also transforming Axa XL itself. With price competition intense, efficiency and service quality have become key differentiators. Automation, she said, is helping her teams refocus on value. “We’ve cut policy issuance from three days to a few hours through Python-based workflows. That frees people to spend time where it matters - on judgement, negotiation and problem-solving.”

The same philosophy drives Axa XL’s growing multinational programmes business. As clients in Asia mature, more global programmes are being led from the region rather than placed into it. A new Multinational Solutions portal gives clients a single view of premiums, policies and claims, “one source of truth” that strengthens control and loyalty. 

One of Axa XL’s biggest growth engines is renewable energy, from onshore and offshore wind to solar, battery storage and carbon capture. Asia is expected to deliver nearly half the world’s new renewable capacity by 2030. “It’s a huge opportunity, but also complex,” Gleises said. “Actuaries love decades of data, but we don’t have that for emerging technologies.”

To close that gap, Axa XL has created a centre of excellence for energy transition, connecting developers, financiers and brokers to de-risk projects early. “We want to engage before shovels hit the ground,” she said. “That’s how we help Asia pursue its decarbonisation ambitions while keeping projects insurable and sustainable.”

With renewals approaching, Gleises expects the soft market to persist and pricing pressure to continue. Her message is pragmatic but optimistic: invest, modernise, and stay close to clients.

“Axa XL is not driven by price or capacity alone,” she said. “Our focus is on creating enduring partnerships and giving clients the confidence to navigate and grow through uncertainty”

Sylvie Gleises is the regional chief executive officer, Asia at Axa XL Insurance. She can be reached at: Sylvie.Gleises@axaxl.com .

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