The study identifies the four changes that are likely to most significantly affect insurers, and their role after the pandemic:
- Accelerated digitization offers new opportunities for insurers and their clients, but also carries associated business risks.
- The "state" may have a negative impact on insurance demand due to the perception that governments will provide enough assistance in the event of a major disaster.
- Pivoting to resilience and sustainability is a great opportunity for insurers to address protection gaps.
- Increased remote work may have implications for companies' risk exposure and require modifications to existing insurance coverages.
In turn, the report offers recommendations with a view to expanding the role of insurance in the post-pandemic risk landscape (p. 28-31 of the report). Specifically, the following issues are addressed:
- Protection gaps and social purpose.
- The scope of business models.
- The complexity of the insurance product.
In terms of cyber risk, the report highlights that while customers consider cyber insurance to be more important in the post-pandemic world, a much smaller percentage plan to buy more. Insurers are therefore being called upon to step up their education efforts on the benefits of insurance.
To access the report, click here.