In response to the looming threat of recession, European insurance industry leaders are doubling down on their digitalisation initiatives to enhance customer experiences and streamline operations, according to a recent survey conducted by Information Services Group (ISG).
The survey, titled “Pulse Check – State of the European Insurance Industry,” conducted in the fourth quarter of 2023, polled nearly 270 business decision-makers and IT leaders in the European insurance sector.
Results revealed that two-thirds of respondents are planning to expedite their digital investments over the next two years, with a focus on improving payment channels, cybersecurity, augmented and virtual reality, and artificial intelligence (AI).
Key strategic priorities identified by survey participants include acquiring new customers and leveraging digital channels to explore new business opportunities.
The emphasis on digital offerings and personalised services aims to drive customer acquisition and retention in an increasingly competitive landscape.
Steve Hall, President of ISG EMEA and Chief AI Officer, highlighted the shift towards a “digital first” approach among European insurers, emphasising the role of next-generation technologies in reshaping business operations and improving market positioning.
AI, in particular, is experiencing significant growth, with a notable increase in budget allocations and a focus on leveraging advanced AI methods such as natural language processing and machine learning.
Despite the growing interest in AI, the survey noted that AI development is still in its early stages for many respondents, with only a fraction actively developing enterprise-wide solutions.
Additionally, challenges such as data silos and cybersecurity remain areas of concern, prompting increased investments in digital risk management and IT security.
Strategic partnerships are seen as vital for accessing digital capabilities and specialised talent while mitigating development risks.
Furthermore, insurers are striving to strike a balance between insourcing and outsourcing to address evolving labor market dynamics and talent retention challenges.
As traditional carriers face competition from tech companies and insurtech startups for top talent, effective talent management strategies are becoming increasingly crucial in meeting the demands of transformative technologies.
Canada has withdrawn a tax that could have reaped billions in revenue to bring Donald Trump back to the table. It raises the possibility that other taxes targeting big tech could be in the US president’s
The European Commission on Monday proposed changes to the way investors pay withholding tax in the European Union, to attract more cross-border trade in securities and help develop the bloc’s
Portugal has now implemented the EU Minimum Tax Directive, introducing into domestic legislation a global minimum tax of 15% for large-scale multinational and domestic groups.The legislation includes
Reports said that if the European Union fails to negotiate with Trump’s team and if the Republican administration choose to apply punitive tariffs on imported European goods, the EU would retaliate