The 2019 KPMG Insurance Survey includes a number of thought leadership articles that specifically focus on various aspects currently impacting the industry
Our experience suggests that most insurers are now undertaking some form of emerging technology implementation. Some are pushing their way towards the cutting edge by partnering with InsurTechs to develop new artifcial intelligence, machine learning and robotic solutions while others are doing more fundamental work, focusing on transforming their capabilities with investments in the customer agenda which requires a reform of the front, middle and back offices.
See below for the individual articles
New mobility models are changing the role of ownership. New mobility ride sharing and ride hailing will impact personal car ownership. Ride hailing services like Uber and Taxify processed over 2 million rides between them in South Africa last year.
Over the last 40 years many significant business, financial or economic crises were not foreseen and prevented. This was evident in the global financial crisis where companies and governments failed to anticipate both the crisis and the impact it would have on the global economy, despite the use of extensive risk identification, evaluation and management methodologies.
Conduct regulation was recently introduced into South Africa. It manifests itself most patently in the establishment of the conduct regulator, being the Financial Sector Conduct Authority (“FSCA”) and in the introduction of “a consolidated, comprehensive and consistent regulatory framework for the conduct of financial institutions”, in the form of the Conduct of Financial Institutions (“COFI”) Act (currently still a draft Bill).
In South Africa, the insurance industry is relatively mature, sophisticated and competitive. As South Africa continues to be a gateway to the rest of Africa, we thought it would be interesting to consider two of the other relatively large insurance markets in Africa.
The South African economy grew by 1.4% in the fourth quarter of 2018, contributing to an overall growth rate of 0.8% for the entire year. In 2018, South Africa entered its second recession since the early 1990s. The 2018 recession spanned the first two quarters of the year, with the economy shrinking by 2.7% in the first quarter and contracting further by 0.5% in the second.