Outsourcing
According to our recent Private Markets Study, 72 percent of respondents said that improving manual processes would help create a competitive advantage for them. As insurers increase their allocations to private assets and alternatives to drive returns, their legacy processes are unable to meet the market demands, causing them to rethink their technology investments and highlighting the need for expert data management, scalability and risk mitigation.
 

Portfolio diversification
Despite the rising reinvestment rates, insurers have continued to diversify into new areas such as private markets, real assets and other complex asset classes. Listed fixed income instruments remain a core component of insurers’ investment strategies. Diversification is important to investors during periods of uncertainty. To support this strategy, insurers need access to a sophisticated and scalable platform to tap into new opportunities confidently.
 

Data
Insurers need access to timely, accurate and consistent data to help manage liabilities, monitor capital risk, access investment opportunities, and report to clients, regulators and other stakeholders. As insurers diversify their investment portfolios, accessing consistent and high-quality data is challenging. They are increasingly turning to outsourced service providers to meet their evolving data requirements.
 

ESG
ESG integration will continue to be a priority for insurance companies in the years ahead. As per our Private Markets Study, 69 percent of insurers said that a better understanding of their ESG exposure is a top organizational priority. They are increasingly looking for a robust, centralized data solution that can position them to gain a competitive advantage and have a positive impact on their investments and society.
 

Industry consolidation
As companies seek to streamline their operations, divestments and consolidation will remain a priority for insurers. Major corporate events present challenges and opportunities for management teams to integrate different teams and operating systems. Companies need a platform that can provide a cohesive data strategy and offer the ability to respond quickly to client needs and market changes.

The insurance sector has successfully navigated varied challenges over the past few years, including geopolitical conflicts and a global pandemic. Will the industry maintain its ability to remain robust and continue to serve its clients in this rapid pace of change? We explore each of these themes in detail to help you navigate your business for better outcomes.