By Rob Starr, Content Manager, Big4.com
In spite of the uncertain economic environment and limited investment income opportunities, property-casualty insurers will be able to pursue growth opportunities in 2013 through acquisitions, international global expansion and product solutions that target new insurable risks and coverage, predicts Ernst & Young in its Global Insurance Center U.S. Property-Casualty Outlook.
Invest in the business for the long term, as a response to the difficult investment environment is one of the factors that will drive business in the coming months. Consumers increasingly look to technology-enabled transformation to improve the insurance service experience. They want real-time solutions that can be delivered through mobile communication and other channels. Such expectations are difficult to achieve without substantial insurance technology upgrades that provide real-time insurance interaction with consumers. Technology can also enhance operational efficiencies, increase underwriting productivity and contribute to better oversight of the claims process. Early detection of potential adverse claims through analytical capabilities can sharpen an insurer’s competitive edge, while yielding cost savings in times of economic volatility.
David Hollander, Global Insurance Advisory Leader at Ernst & Young LLP has commented saying:
“Insurance carriers can seize growth opportunities by improving analytical and decision-making capabilities, cross-selling products and using marketing data to increase customer retention and encourage business expansion. Growth and profitability strategies need to be developed across the enterprise and balanced against the risks they may produce.”