This article was first published on December 7, 2020.
The insurance industry contributed 6.6 percent to the world’s GDP in 2019 versus 7.5 percent in 2007. The industry has not kept pace with the growth of the global economy. It needs to fundamentally transform itself to arrest the slide in its relevance going forward. We have combined our research insights with an overview of the mega-trends that are impacting the insurance industry and deep dived into what the future may hold in terms of the potential opportunities across lines of business and how insurers and InsurTechs can position themselves to take full advantage.
Along with the escalation of data ability, the emergence of new data sources and advancements of digital analytics, the future of insurance re-imagined will be customer-centric instead of product-centric, as well as digital, simple and accessible. Going forward, the industry needs to not only continue to play its core role of providing protection to its consumers, but also develop creative, customer-centric products that provide greater value. Despite the many challenges, the insurance industry presents many opportunities for insurers and insurtechs that are keen to innovate, improve operational models and transform customer experience.