The Insurance sector has long been regarded as a safe pair of hands underpinning the financial system with their infrastructure that generally remains independent of interbank markets and payments systems, and robust risk mitigation practices. These strengths can also manifest as barriers to innovation and transformation, as many insurance companies struggle to integrate new technologies into their legacy stacks, and focus more on low-risk enhancements over true innovation and experimentation. This risks limiting the accessibility and scalability of insurance solutions, just as consumers and the financial system stand to benefit from the Insurance sector's expertise on broad and emerging risk categories of recent years coming to roost - cyber, climate change and geopolitical tensions.
How might the Insurance sector preserve its strengths while supporting businesses and consumers in managing these risks? How might broad cyber and parametric solutions be made accessible at scale?
This roundtable considers different approaches to Insurance and InsurTech innovation - digitisation of insurers themselves, connection between insurers and technologies via InsurTech, and an extension of insurance into new areas through embedded insurance and fractionalisation. It considers the state of play today and seeks to identify the impediments to a thriving innovation ecosystem in insurance, and how these may be overcome.
