Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
Some concerns vary widely among regions.		
	 The trends are real. Are you ready?			
In the spring of 2013, Towers Watson, ...
Upcoming SlideShare
Loading in …5
×

Infographic: Insurance Industry Megatrends - Towers Watson

852 views

Published on

This infographic represents forces that will shape the future of the global insurance industry. It includes selected findings from a 2013 study by Towers Watson, in
cooperation with the International Insurance Society (IIS), and surveys more than 500 insurance executives, academics and others.

Published in: Economy & Finance
  • Be the first to comment

  • Be the first to like this

Infographic: Insurance Industry Megatrends - Towers Watson

  1. 1. Some concerns vary widely among regions. The trends are real. Are you ready? In the spring of 2013, Towers Watson, in cooperation with the International Insurance Society (IIS), surveyed more than 500 insurance executives, academics and others to identify megatrends most likely to impact the business over the next several years. Insurance Industry Megatrends Forces that will shape the future of the global insurance industry Selected findings •• In the short term, survey respondents are most worried about capital management challenges and the impact of regulations and government policies. •• Over the next five years, however, respondents become comparatively more concerned about other trends, notably demographic change (especially among life insurers) and the impact of big data (especially among the non-life industry). •• For all of the excitement around social media, fewer than one-quarter of respondents see the emergence of social media as having a significant impact on their business. Increased role of advanced technology such as predictive modeling and “big data” Increasing power of the consumer as a result of social media Shifting demographics, including increased longevity and aging populations In the next two years In the next five years Which trends will have the most significant impact on your business? 26% 19% 35% 40% 21% 15% In the Asia Pacific region, respondents are far more focused on talent issues and changing regulations while paying somewhat less attention to capital management issues and big data. Americans are much more likely to worry about capital management and big data, and much less concerned about social media and emerging markets. Europeans are less likely to worry about talent shortages and big data but are more worried about the volatile economic environment and changing regulations. •• Respondents show high comfort levels with their ability to address capital management challenges and regulatory change. •• Confidence falls sharply when asked about their preparations for the impact of big data, looming talent shortages, the rise of social media and increased geopolitical instability around the world. Poised to leverage Not currently prepared Prepared to handle Little or no way to prepare Somewhat prepared How prepared is your company? Growth in demand for insurance products in emerging markets Increasing power of the consumer as a result of social media Increasing challenges of talent attraction and retention in the industry Increased role of advanced technology such as predictive modeling and big data 16% 16% 43% 23% 2% 6% 27% 40% 25% 2% 8% 21% 36% 32% 3% 31% 35% 19% 10% 5% Nearly 75%of respondents see the global insurance industry becoming more concentrated as it addresses the impact of megatrends. Much more fragmented Somewhat more fragmented About the same Somewhat more concentrated Much more concentrated 3% 10% 10% 14% 63% towerswatson.com What potential “black swan” events are out there — potential developments or trends that the insurance industry has failed to recognize? With their focus on capital management and regulations, are insurers paying too little attention to the competitive advantage — or disadvantage — of new megatrends, such as big data? Are insurers facing up to the new talent demands that will increase as companies embrace more sophisticated technology and social media? The research raises a number of questions.

×