The 2023 Sustainable Insurance Summit emphasized pragmatic sustainability action, focusing on long-term vision and forward-thinking. Transitioning from an annual renewal loop to a future-looking approach is challenging but essential. Despite the data-centric struggles, starting somewhere is crucial, keeping in line with upcoming regulatory compliance and nurturing growth. This blog delves into these insights from the Summit.
KEY TAKE-AWAYS:
- It’s time to get dirty – data will evolve, but making a pragmatic start should be embraced. Sooner rather than later.
- Collaboration remains crucial – make sure it’s central to your supply chain relations because understanding the why (you are being asked to report on something) is key to communicating it to all levels.
- If you are thinking short-term… stop it..! Customer retention and relationships are core to growth and setting the right foundations – but they require long-term vision and practices.
Attending the Sustainable Insurance Summit (hosted by the team at the Better Insurance Network) in early 2023 it was interesting to see the evolution of the collaboration message from 2022.
“Collaboration is the foundation – but data is critical.”
There was also an increased focus on nature – and its symbiotic connection with climate change. Yet still the evidence is that very little is being implemented beyond the major brands within the broader insurance supply chain.
As such there is probably the need to continue reiterating – “Regulatory compliance will come – get ahead of it” – but underlying challenges in relation to data seems to be the primary justification for holding back.
Perhaps this will be a hard message for anyone to hear, but…
“Get over it..!
Start somewhere. The data will always lag behind the ideal.
Know the limitations and mitigate accordingly.”
Of course, it’s easier said than done.
Several decades of experience are testament to that. But in general, if everything had to be perfect before we start something… then frankly, nothing would get done..!
One of the often-cited reasons for the lack of future-looking approaches in the insurance market is the annual renewal loop. I think we all get it. It’s easier not to break something that is working, but there will come a point where the “ah well, let’s see what happens in the next 12-months” view will have to be broken and fixed.
It may be sooner rather than later.
However, the flip side to “let’s wait and see” is the drive for higher and higher renewal rates.
This seems to jar against the “mañana” or “laissez faire” approach.
Obviously year-on-year growth is desirable for every business. This is as true in insurance as any other sector. So – quite rightly – the desire to win and retain business on an ongoing basis is paramount – if only to make it less of a challenge to grow without first replacing.
So that would tend to suggest that a longer term view is absolutely necessary.
Of course maybe the view of “wait and see” is one where the drive is based on a commission cheque rather than the long term interests of all parties… but perhaps that’s a different debate altogether..!
Anyway, my point wasn’t intended to be a political one, but one that states the obvious.
Today’s business isn’t simply for 12-months… it’s longer term. So, understanding the longer term is crucial. Or at least it should be.
And the impact – in terms of benefit – is the reward for a forward-thinking approach to mitigating risk for your customer.
That feels like a win, win, win.
And to that end, perhaps we can help you understand where to focus.
@ 2023 Gammali.co.uk by Jason Day
About Gamma Location Intelligence
Gamma Location Intelligence (Gamma LI) is a cloud hosted spatial solutions provider that integrates software, data and services to help our clients reduce risk through location intelligence. Established in Dublin, Ireland in 1993, and with offices in Manchester, UK and Bilbao, Spain, the company has expanded to become a global provider of innovative, cloud-hosted location intelligence solutions. Gamma Location Intelligence’s Perilfinder™ risk mapping platform provides property underwriters with access to trusted property-level risk data easily, quickly and accurately.
