Future Forecast

Market conditions, the Financial Systems Inquiry, big data and wearable technology – these are some of the topics occupying the minds of industry leaders.

Broking – Mark Searles – CEO and Managing Director, Austbrokers:

“The consensus about the insurance market is that the commercial lines outlook is still challenging. While premium rates are expected to stabilise, we’ll see a slow transition from the current soft market with premium growth unlikely until FY17.

But this is a one-dimensional view, as it relates to the insurance cycle – by definition it’s a cycle and is always going to turn. It’s the rate of change that’s the variable.

It’s interesting to take a broader look at the factors that will influence our clients over the coming years, and therefore the insurance market. The often-cited trend of ‘emerging risks’ is no longer ‘emerging’, it’s here.

A good example of this is the increasing number of cyber-attacks in Australia. Up to now, Australia has been pretty nonchalant about cyber risk, and even seemed to be fatigued of hearing about it.

That time is clearly over. I would say we are going to experience an increasing number of cyber events.

The biggest opportunity in our view, and one that we’re arguably helping to lead, is to provide our partners and clients with a ‘whole-of-risk’ approach.

If we’re always keeping our clients at the centre of everything we do, giving due consideration to their full risk portfolio (people, physical and financial risks) and providing relevant solutions, the opportunity to help grow and protect their business will also help grow ours.”

Full Insurance & Risk Professional article available here.