Insurers must adapt to deal with regulatory and technological changes

A report from KPMG suggests that insurers will need to take "drastic measures" in order to reinvent themselves. In Empowered for the Future: Insurance Reinvented, which was released earlier this week, KPMG argues that insurers need to make fundamental changes to their business and operating models. "Success in the insurance industry of the future will not come from simply tweaking the status quo, insurers will need to change virtually every part of their business if they hope to not just survive, but thrive," reads the report. KPMG surveyed more than 70 insurance executives and asked them about the difficulties they see ahead and how they plan to meet them. Asked about the greatest threats they face (respondents could give more than one answer), executives said they were most concerned by the prospect of regulatory changes (37%), the effect of organisations outside the insurance industry (37%), and disruptive technologies (36%).