Risk Environment Has Never Been So Complex
Geopolitics, weather extremes, social and economic inflation, and rapidly advancing technology – for insurers and reinsurers, the “risk environment has never been so complex,” the PwC Insurance Summit heard today.”
Speaking at the Summit, presented with the Financial Times, and attended by nearly 300 industry professionals from over 50 different re/insurers and other organisations, Arthur Wightman, PwC Bermuda, Territory and Insurance leader, said: “How the insurance industry responds to solving these problems is both a decisive test of purpose and commercial relevance – and a once-in-a-generation opportunity to drive innovation and growth.
“Bermuda, which impressively makes up 36% of the global reinsurance market, and is the largest supplier of catastrophe reinsurance to US insurers, has a central role to play.”
The spokesperson said, “Eric Andersen, President of Aon gave a keynote interview on the state of the industry in 2023 and beyond, including what steps the industry is taking to build resilience in the face of multiple global threats.
“In the opening leaders’ session, Orla Gregory, President, Enstar, and Kevin J. O’Donnell, President and CEO, RenaissanceRe took part in a session on the global trilemma – looking at how CEOs are navigating geopolitics, rising rates and economic uncertainty.
“Moderated by FT insurance correspondent, Ian Smith, the session heard how Bermuda remains a highly competitive jurisdiction for re/insurance and a centre for idea and solution generation in the industry.
“According to our 2023 Reinsurance Banana Skins Survey – climate change is the industry’s number one risk once again as reinsurers bear the brunt of the cost of catastrophe claims from an ever-increasing number of extreme weather events.”
“As these losses spiral upwards, our survey highlights the growing concerns that some areas and types of business could become uninsurable,” Wightman said. “The other big risks at the top of the boardroom agenda centre on cyber, technology, talent and regulation – all topics you will be hearing much about today.
“As the world continues to change at a relentless pace, the risks facing organisations, people – and the planet – will only continue to rise. The challenges to the industry come at a time when the protection gap is widening at an accelerating pace – and could reach US$1.86tn by 2025, with the Asia-Pacific region accounting for almost half of all uninsured risk, according to PwC research.”
“We look forward to providing a prominent platform for the industry’s leaders to exchange ideas, insights – and explore innovative strategies in the world of insurance and reinsurance.
The day’s full agenda can be found here.
