A report based on an insurance industry survey by the Deloitte Center for Financial Services is bullish when it comes to the sector’s growth prospects for 2022 and recommends companies develop in-house talent rather than acquiring it.
Most respondents cited plans to increase investment in technology and evolving talent models to build on the digital and virtual platforms that sustained their operations and maintained their engagement with customers during 2021.
Among the 424 insurance respondents from North American, European, and Asia-Pacific countries, about one-third expect revenues to be “significantly better” in 2022.
Meanwhile, the Swiss Re Institute expects rising demand for insurance worldwide with consolidated premiums for all lines rebounding by 3.3% for full-year 2021 and 3.9% in 2022, compared to a drop of 1.3% in 2020. DI_Insurance-industry-outlook
The institute expects China to lead the way with 9% growth in 2022, followed by emerging markets (excluding China) at 4.9%, while advanced markets are likely to see more moderate gains averaging 3%.
Author’s of the Deloitte report say global life insure will – as a result – post above average premium growth rates of 3.8% in 2021 and 4% in 2022.
Interestingly, a survey of underserved US life insurance consumers showed most would be more interested in buying life cover if it included an adjustable premium based on lifestyle and healthy eating – perhaps measured by fitness apps or other data sources. Some New Zealand insurers are already experimenting with this concept.
When it comes to growing talent across the financial advice industry the Deloitte report says companies should identify positions where staff can be trained to do the job, rather than searching the market for people with a 100% skills match.
“Not all employees need to be entirely tech-fluent at first,” states the report. “Training to adapt to specific work with emerging technologies can help accelerate the pace of innovation.”
The report’s writers also say automation can free employees from routine manual and administrative processes, and allow manpower to be diverted to more challenging tasks that enrich jobs and careers.