“The property/casualty insurance industry will look very different in the next 10 years than it has in the last 30.”
The prediction, delivered by Standard & Poor’s Director Tracey Dolin-Benguigui at an S&P conference earlier this year, may not seem extraordinary. In fact, assuming that most industry leaders would agree, Carrier Management recently surveyed more than two dozen to ask the obvious follow-up question: How?
More specifically, we asked:
What major changes do you see on the horizon for the property/casualty insurance industry in the next 10 years? What will insurance companies, insurance leaders, the industry and its workforce look like in the next decade? What risks will they insure? How will insurance products and services be distributed?
Nine InsurTech leaders, five traditional carrier CEOs, six more P/C carrier executives and another half-dozen experts with ties to the insurance industry (service providers, investors and legal advisers) responded, sharing their visions of what’s on the horizon between 2017 and 2027. Below we have published quotes from each of the executives of incumbents and founders of InsurTechs and the rest of the respondents without identifying who said what.
Which responses came from the startups and which ones from the veterans in the insurance game?
Click the quote icon on the left side of each quote to find out and to reveal the complete responses of each respondent. Below the quotes, we have provided a list of all the respondents with direct links to their full responses.
In a decade, our venerable, well-established carriers with legacy systems and cultures—if they manage to survive—will be anachronistic.
CEO, Hamilton ReRead Kathleen's Full Response ›
Insurance companies are resilient, and they can continue to be resilient if they move quickly and decisively.
CEO and Co-Founder, Slice Labs, Inc.Read Tim's Full Response ›
We believe the new entrants looking to disintermediate brokers and agents often underestimate the difficulty of customer acquisition and the value of advice.
CEO, The HartfordRead Christopher's Full Response ›
We are on the tail end of insurance companies going “digital.”
CEO, RiskGeniusRead Chris's Full Response ›
If you could wake up an underwriter or broker from 1686, it would take only a few days to get them up to speed.
Executive Vice President, Chief Distribution and Marketing Officer, Allied WorldRead Bobby's Full Response ›
Digitally interconnected operations represent the most comprehensive, agile, innovative, creative and emotionally connected way of conducting business.
Dr. Henna Karna
Managing Director and Chief Data Officer, XL CatlinRead Dr. Henna's Full Response ›
Smart contracts and reinsurance go together like peanut butter and jelly. If this doesn’t exist in 10 years, I will be shocked, and if it doesn’t exist in three years, albeit with limited adoption, I will be mildly surprised.
CEO, Tyche RiskRead Adam's Full Response ›
The power of technology to drive change and disrupt traditional industry models will continue to have a paradoxical effect on the industry. It will give us more tools to collect and analyze data to price certain risks, but it will also accelerate the pace of change and give rise to unknown risks.
CEO, QBE North AmericaRead Russell's Full Response ›
As the insurance industry ramps up its use of big data, it will likely lead to disaggregation of the industry.
Partner, Clyde & CoRead Vikram's Full Response ›
Success in this environment demands perpetual innovation and the ability to reimagine the world of risk. Yet, this must come at a time when many in our industry are saddled with business models that haven’t changed much in the last 200 years.
President and CEO of Munich Re, USRead Tony's Full Response ›
No one company will “win” insurance. Distribution and customer experience will be headlined by technology, but the category standouts will back up tech with human touch and expertise in elegant and efficient ways.
Co-Founder, Ask KodiakRead Mike's Full Response ›
Workers compensation will evolve and become largely about proactive workplace safety rather than paying for losses post-accident.
CEO, Intellect SEECRead Pranav's Full Response ›
Digitization and automation alone are not the keys to success. What really matters is how we connect with our customers and gain a clear understanding of their needs. Our strategic focus is on the customer.
CEO, Zurich North AmericaRead Mike's Full Response ›
Falling IoT costs and a growing dataset will position insurers to champion loss prevention and risk mitigation for a much broader customer base under a “prevention as a service” umbrella.
David W. Miles
Co-Founder and Managing Partner, ManchesterStory GroupRead David's Full Response ›
In the future, even more informed and personalized ways to underwrite risk will emerge.
CEO, XceedanceRead Arun's Full Response ›
Going forward, automation will invade the insurance industry, with bots taking over many customer-service functions, handling simple underwriting inspections and empowering more self-service claims.
Rebecca Wheeling Purcell
Schedule ItRead Rebecca's Full Response ›
Niches within the industry will become even more focused as analytics allow the industry to “slice and dice” into micro-segments.
Senior Vice President, OneBeacon Insurance GroupRead Jeff's Full Response ›
The insurance system today is built on agents, actuaries and underwriters, who will be replaced with simple-to-use online interfaces, algorithms and artificial intelligence.
Co-Founder and CEO, Next InsuranceRead Guy's Full Response ›
D2C will certainly gain more market share as well, but predominately, I think insurance will remain too regulated and too geographically fragmented to completely drop a broker or agent.
CEO, Bold PenguinRead Ilya's Full Response ›
I could see a day where the industry is insuring and protecting individuals and their lifestyle with no gaps, no overlap and one premium.
CEO & Co-Founder, Hi MarleyRead Mike's Full Response ›
The diverse and embedded infrastructure for selling insurance is tougher to disrupt than most people think.
President US P/C—Regional and National, Swiss ReRead Keith's Full Response ›
What we expect to see in the coming years is a continuation of what happened in travel—with the majority of relatively simple customer scenarios moving to a few online players
Co-Founder, CoverWalletRead Rashmi's Full Response ›
By using new collection methods, such as drones and sensors—information sources not previously available—businesses will be able to carry policies based on more accurate usage [of connected devices] rather than traditional annual or multiyear policies.
Senior Vice President, Digital, Argo GroupRead Andy's Full Response ›
Look for continued expansion in the startup space, but I anticipate some consolidation before the next wave of entrepreneurs emerges with higher levels of both expertise and experience.
Head of Open Innovation, Markel CorporationRead Trent's Full Response ›
This is just the beginning, as many new insurance products will be created with technology and data acting as enablers.
Managing Director, Global Insurance AcceleratorRead Brian's Full Response ›
Cloud technologies will be of greater focus as companies look to enable greater efficiency and business agility.
President, RMSRead Mike's Full Response ›
Click on each executive to read their full responses.
- Mike Albert, Co-Founder, Ask Kodiak
- Tim Attia, CEO and Co-Founder, Slice Labs, Inc.
- Arun Balakrishnan, CEO, Xceedance
- Ilya Bodner, CEO, Bold Penguin
- Bobby Bowden, Executive Vice President, Chief Distribution and Marketing Officer, Allied World
- Andy Breen, Senior Vice President, Digital, Argo Group
- Adam Cassady, CEO, Tyche Risk
- Chris Cheatham, CEO, RiskGenius
- Trent Cooksley, Head of Open Innovation, Markel Corporation
- Mike Foley, CEO, Zurich North America
- Guy Goldstein, Co-Founder and CEO, Next Insurance
- Mike Greene, CEO & Co-Founder, Hi Marley
- Brian Hemesath, Managing Director, Global Insurance Accelerator
- Russell Johnston, CEO, QBE North America
- Dr. Henna Karna, Managing Director and Chief Data Officer, XL Catlin
- Tony Kuczinski, President and CEO of Munich Re, US
- Rashmi Melgiri, Co-Founder, CoverWallet
- David W. Miles, Co-Founder and Managing Partner, ManchesterStory Group
- Pranav Pasricha, CEO, Intellect SEEC
- Mike Pritula, President, RMS
- Kathleen Reardon, CEO, Hamilton Re
- Jeff Richardson, Senior Vice President, OneBeacon Insurance Group
- Vikram Sidhu, Partner, Clyde & Co
- Christopher Swift, CEO, The Hartford
- Rebecca Wheeling Purcell, Schedule It
- Keith Wolfe, President US P/C—Regional and National, Swiss Re