emea insurers snapshot - regional snapshot
TRANSCRIPT
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2013 State Street Insurance Survey
• This survey, sponsored by State Street and conducted by the Economist Intelligence Unit, examines the current state and future outlook for the global insurance industry
• Fielded during April 2013, the survey encompassed 307 senior insurance executives globally, of which 116 were based in EMEA
About the Research
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44%
14%
20%
8%
14% LifeHealthP&CReinsuranceDiversified
31%
19%16%
10%
24% UKNetherlandsGermanySwitzerlandOther
EMEA Respondents by Country EMEA Respondents by Industry Sub-Sector
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Key Challenges Facing Insurers in EMEA
Managing Risk
Improving the assessment and pricing of risks
Balancing liquidity and reserve adequacy
Regulationand Compliance
Adapting to evolving insurance regulations
Ensuring transparency of business policies and processes
Driving Innovation
Bringing new, innovative products to market quickly
Adapting distribution to changing demographics
Finding New Sources of Value
Effectively allocating capital to the most business-critical priorities
Investing in more complex investment types
Optimizing BusinessStrategy
Converting fixed costs to variable costs
Using data more effectively across our company
55%
53%
47%
49%
47%
57%
55%
41%
58%
53%
33%
16%
41%
26%
43%
26%
19%
27%
24%
24%
Minor challenge Major challengeSource: 2013 State Street Insurance Survey, conducted by The Economist Intelligence Unit 2
Adapting to regulation and quickly launching innovative products are the leading challenges for EMEA-based insurers
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60%
69%
58%
53%
61%
31%
19%
28%
27%
19%
9%
12%
14%
20%
20%
40% 20% 0% 20% 40% 60% 80% 100%
European Regulatory Environment
Top Five Regulatory Concerns for Insurers Operating in Europe
Source: 2013 State Street Insurance Survey, conducted by The Economist Intelligence Unit CORP-0759 3
• Regulatory reform in the wake of the global financial crisis continues to transform the insurance industry
• Solvency II is a huge concern for insurers operating in Europe: 91 percent describe it as a challenge, with nearly one- third (31 percent) seeing it as a “major” challenge
• Nearly half of respondents (49 percent) judge their firms to be taking a very proactive approach to Solvency II requirements, while the rest are delaying efforts until uncertainty around key aspects of the regulation is resolved
European insurers are confronting a host of regulatory issues, dominated by Solvency II
Preparing for Solvency II
Complying with FATCA
Keeping pace with evolving EU and national tax legislation
Adapting to regulations onunbundling banking and insurance products
Preparing for PRIPs
Not a challenge Minor challenge Major challenge