Reinsurers face challenges in the future
Thursday, 03 29 2018, Category: Insurance and Reinsurance, Country: World
Insurance and reinsurance companies face a conundrum. Driven by their need to modernise, innovate, digitalise and generally shift towards technology driven risk transfer business models, re/insurers are spending increasing amounts of money, causing their expenses and costs to rise as a result.
You cannot innovate without investment and technology is expensive, so increased expense ratios and higher costs are to be expected, as an industry like the insurance and reinsurance sector tries to keep up with the pace of change within financial markets and broader society.