At a recent roundtable that was part of Aon’s virtual reinsurance renewal season fireside chats, industry executives identified real-time data management as a “game changer.” for reinsurance.
The session was moderated by Andy Marcell, Managing Director of Aon’s Reinsurance Solutions, and featured panelists Monica Cramér Manhem, President, International Reinsurance at SiriusPoint, and Tulsi Naidu, CEO, APAC at insurer Zurich.
Leaders agreed that technology was paramount to the future success of the re/insurance industry.
Naidu said the “real understanding and appreciation” of insurance that had begun to occur in parts of Asia over the past two years was partly due to a growing number of technological solutions.
“One of the biggest opportunities for insurers is how we can use technology and data to bring insurance to life for our customers – whether that’s improving the customer experience, creating more engaging propositions, use information to prevent crises or explore new forward-thinking models,” she added.
Naidu said technology and data will become “the backbone” of businesses.
“That’s probably the most important topic for any CEO. Are we thinking enough about the direction of technology; are we thinking enough about the speed of change?” she commented.
Speaking of the role of technology in the reinsurance industry, Cramér Manhem also remarked, “It’s the ability to use real-time data and analyze risk that’s going to be super, super important, and our industry has to move quickly here, because we have to have that capability.
“When you have the ability to import data and information and work with it in real time, that’s going to be a game-changer.”
Cramér Manhem noted that if submission data, policy information and exposure data could be managed in real time, it would create “a dynamic that we have never seen before”.
In response to recent challenges related to COVID-19 and elements of customer dissatisfaction with policy wording and coverage, Naidu said communication was paramount and the industry needed to focus more on product details and the complaints process.
“We tend to focus on the premium concept, and we just don’t spend enough time thinking about and talking about the experience of that claim and the value of that claim,” she said. .
Cramér Manhem agreed, “We provide tremendous value and support to society and our customers and I don’t think we’re necessarily the best at communicating that…what’s covered, what’s not covered. , what are the expectations, what is the intent and purpose of a contract or agreement, [so] that it is clear to both the customer and the insurer, and ultimately the reinsurer, as to what they are providing cover for and what the expectations are for the future.
Cramér Manhem said that over the past few years the industry had struggled to provide shareholders with “meaningful returns” in the real estate business, and needed to “fix, reprice and fix” in order to be a ” sustainable and viable proposition for our customers”.