Insurance Banana Skins 2025
Singapore highlights
Now in its 10th edition, Insurance Banana Skins 2025 identifies the most urgent risks in the insurance industry as perceived by practitioners and close observers worldwide, surveying 70 Singapore participants in the global survey.
Singapore’s implied “anxiety level” fell modestly versus 2023 yet remains above the global average, while perceived preparedness is essentially unchanged and below the global benchmark. The gap between higher perceived risk and lower readiness underscores a cautious mood among insurers in Singapore amid volatile macroeconomic conditions, persistent cyber threats and intensifying technology change.
The Banana Skins Indices, Singapore, 2023 - 2025 (scale of 1 to 5)
| Banana Skins Index1 | Preparedness Index2 | ||
|---|---|---|---|
| 2023 | 2025 | 2023 | 2025 |
| Singapore – 3.59 | Singapore – 3.44 (▼by 0.15 points) |
Singapore – 3.20 | Singapore – 3.21 (▲by 0.01 points) |
| Global – 3.21 | Global – 3.22 (▲by 0.01 points) |
Global – 3.20 | Global ౼ 3.24 (▲by 0.04 points) |
Note: The higher the Banana Skins Index, the greater is the implied "anxiety level".
1 The Banana Skins Index: This measures the average score for each territory with 10 or more respondents, who evaluate the 23 risks listed in the questionnaire.
2 The Preparedness Index: This is based on the average response to how well the insurance industry is prepared to handle identified risks, rated on a scale from 1 (poorly) to 5 (well).
Peeling Singapore’s top 3 banana skins
Top risk themes in Singapore
Singapore’s risk landscape in 2025 is defined by a high-conviction top cluster — cyber crime, macro‑economy and interest rates — and a broad operating agenda across technology, talent and AI. Compared to the world, Singapore respondents exhibit greater sensitivity to market and conduct risks and lower concern about political, regulatory suitability and climate risks.
Other notable risks gathering momentum in Singapore
Artificial intelligence (AI) has climbed to the sixth spot in Singapore’s top banana skins, moving up significantly from its previous position outside the Top 10 in the 2023 edition of the report. Although Singapore’s sixth is lower than the Global counterpart at its number two, respondents are recognising AI as both an upside driver of operating leverage and a downside driver of cyber and fraud risk.
Two operating risks round out Singapore’s top five: technology and human talent. Technology risk reflects the cost, complexity and execution risks of modernising legacy platforms, alongside the competitive threat from firms that integrate AI, automation and data at pace. Human talent concerns focus on an aging workforce and competition for scarce data, engineering and actuarial skills.
“Insurers in Singapore stand at a crossroads where both continued and emerging challenges like cyber threats, macroeconomic volatility, and rapid technological advances demand a re-evaluation of traditional strategies. How do insurers not only stay resilient but thrive amidst such dynamic complexities? The focus must shift toward integrating AI-driven solutions, enhancing cyber resilience, and recalibrating economic strategies.”
“To stay ahead, insurers should not only align with regulatory compliance but also advocate for a risk-sensitive, future-oriented framework that balances innovation with protection. As anxiety levels remain high, collaborative foresight and adaptability will be the keystones that define success in securing a sustainable and profitable future for the industry."
Insurance Banana Skins 2025 – Singapore highlights
Download our report for a deeper dive on the most urgent risks in the insurance industry.
Access the 2025 Global report
The Global edition draws on the perspectives of practitioners and close observers of the industry across 42 territories.
About the report
The report is produced in conjunction with the Centre for the Study of Financial Innovation (CSFI).
Insurance Banana Skins 2025 identifies the most urgent risks in the insurance industry as perceived by practitioners and close observers around the world. The survey, conducted from June to August 2025, is the 10th edition of Insurance Banana Skins, published biennially since 2011. It gathered 698 responses from 42 territories, including 70 from Singapore.
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Contact us
Bhagya Perera
Managing Director, Technology Risk Services & Cybersecurity, PwC Singapore
Tel: +65 9670 7491
Glenn Rogers
Managing Director, Insurance Technology Lead, South East Asia Consulting, PwC Singapore
Tel: +65 8125 7692
