As margins are squeezed in the face of increasing competition and the cushion of investment returns begins to shrink, insurance companies are looking to sharpen underwriting, cut overheads and reduce claims leakage. They are also striving to improve risk management in the wake of recent financial setbacks, solvency pressures and governance scandals.
The payoff from these efforts can already be seen in strengthening market confidence and a resumption of acquisition activity following a relative lull earlier in the decade. Outsourcing and strategic partnerships are also proving increasingly popular.
Commercial challenges faced by insurers include the need to strengthen customer relationships and develop tailored and targeted products and services in the face of more exacting customer demands and increased competition. Regulatory challenges include overcoming the continuing uncertainty with respect to insurance reporting under IFRS and gearing up for the forthcoming Solvency II.
How PwC can help you
Turning challenges into opportunities
For a complete reference guide on the services we can offer insurers in Singapore, please download the Overview of PwC's Insurance Practice. It highlights key issues and challenges, asks thought-provoking questions and explains how we can help insurers and intermediaries navigate their way through change and complexities in the industry.