Singapore

Deloitte, FWD and Ziliqa are amongst the launching partners.

The deadline for nominations is on 20 April 2018.

A major US automaker was involved in three of the biggest product liability payouts of all time, the latest having been in February 2014, based on faulty ignition switches that could shut off vehicle engines during driving, disable power steering and brakes, and prevent airbags from inflating. Other large claims have been made against cigarette manufacturers for causing cancer; and medical equipment makers for leaky silicone breast implants. Whilst most of the largest product liability episodes involve public companies, and are filed in the US, claims can happen almost anywhere. In October 2017, a private US medical supply and healthcare company was hit with a product liability problem involving its disposable contact lenses shipped to Japan, Taiwan and Hong Kong, necessitating the recall of more than 31,000 boxes.

Asia is vast geographically, comprises more than 15 major jurisdictions and possesses extreme diversity in terms of the ethnicity of its population, its cultures and the varying stages of economic, social and technological development in each country, making it one of the most varied markets globally. Therefore, there are many different risks and challenges posed by the increased opportunities created by innovative and technological advances, not least in the insurance industry. A prime example of such growth is the emergence of insurtech in the Asian market.

Asian insurers are riding several positive trends, like the region’s growing middle class and their increasing demand for insurance. Over the past five years, Asian consumers contributed more than half of the global growth in life insurance premiums. Capital markets have certainly noticed: Insurance players with a significant Asian presence have an average price-to-earnings (P/E) ratio close to 20—compared to a P/E of 10 to 15 for those that don’t, according to Bloomberg. But insurance companies also face challenges. Government bond rates have fallen from more than 10% in the 1980s to 2% or less in many Asian countries, shrinking investment returns.

The diverse insurance market in Asia-Pacific sees plenty of growth opportunities and challenges pertaining to distribution and regulation. Insurers are increasingly aware of the importance of customer centricity, product and service innovation, as well as alternative business models to drive growth.

Retail insurers in Asia Pacific and around the world have a problem: their customers don’t love them, don’t appreciate them, and don’t stay with them. Because customers don’t discern much difference between insurers, companies end up competing largely on price, and that can lead to a downward spiral of cost-cutting, profit erosion, and customer churn. In a word, commoditisation.

Keeping pace with changing demographics, changing customer expectations, as well as technological advances are some of the major challenges that insurers face, and is likely to continue to be a major concern in the next 2-3 years. The recent 2017 Insurance Banana Skins survey launched by CSFI and PwC looked at the top risks that the insurers are facing. In Singapore, the top 3 risks to the insurers are all interconnected: change management, technology, and quality of management. Here’s the reason why:

Over 180 trophies were awarded to winning banks and insurance companies.

Singapore Life is breaking boundaries and stepping on new grounds in an attempt to breathe new life in Singapore’s evolving insurance industry.

The “wait and see” attitude is holding back insurers from being early adopters of digital transformation.

The Asian mass affluent consumer is expected to hold $43.3t in assets by 2020, and Goldberg eyes leveraging this opportunity.

When a top insurance company in the US found that its customers seeking an online insurance quote were finding it tedious to fill out numerous forms, it deployed Amelia.

Coface named Samuel Jesuratnam as country manager for Singapore effective September 2017.

If regulatory and macroeconomic risk were foremost amongst insurer worries two years ago, these have now been overtaken by anxieties on coping with change and cyber risk. Change management has shot up to the top of the bi-annual 2017 Banana Skins survey, which reflects risk perception amongst insurers globally in the next two to three years, up from sixth place in the 2015 rankings. Similarly, cyber risk has risen to become the second most critical concern for insurers, up from fourth, due to the rising threat of cyberattacks and the steep costs of underwriting cybercrime.

China, Indonesia, Malaysia, and India are the most promising economies.