The £5.28m fine handed out by the UK regulator to Liberty Mutual last week fired two warning shots across the bows of the insurance sector. This week's blog post examines their repercussions for insurers.
A super-complaint was delivered last week to the UK competition authority. It means pricing practices in the retail general insurance market will now come under intense scrutiny. I assess its origins and implications, and show how insurance firms can respond.
Actuaries are approaching an ethical crossroads, where the opportunities of data and analytics will meet a new era of accountability in insurance. How they respond will set the scene for how trust in insurance develops over the next five years.
When you’re told that what’s being offered is honest insurance, what do you think? Some will be reassured that all is bound to be well with the policies of an insurer like that. Which indeed it might be. If however you’re curious about what is meant by honest insurance, then read on.
We need to think differently about trust in insurance. Digitisation makes this more important, not less. Firms need to organise their thinking, and not just leave trust to chance. If there’s a new ‘trust story’ to be told, it’s insurers who need to write it, before someone else does in their place.
Insurance is being transformed not by data or analytics, but by personalisation. Yet personalisation has some inherent flaws, which I examine in this post. What we could end up with is a cauldron of disruption, fuelled not by innovation, but mistrust.
Leadership on ethics is a key factor influencing the trust that clients have in a firm. Getting that leadership on ethics right requires a clear ethical vision. So how do insurance executives craft that ethical vision?
This year could be a daunting one for some insurance people. Over the next 12 months, they’re going to have their integrity assessed. And if they fall short, their certification to practice in the sector could be affected. These four ethics courses address this problem head on.
Big data is starting to transform insurance. It could also transform professionalism in insurance, in ways that present some pretty new risks. So what should professional bodies around the world look out for?
Two recent studies have highlighted the need for firms in the financial services sector to start paying attention to ethical objectives. The benefits are clear: they help you deliver on innovation, integrity and customer focus.
The new Investing in Integrity charter mark has much to commend it, but will, like many of those before it, face some challenges. Greater transparency around the results of its accreditation would be a worthwhile step.
Ethisphere's list of the World's Most Ethical Companies includes seven with strong insurance connections. Are insurers reluctant to put their efforts on ethics up for scrutiny? That would be a pity, for if it's worth investing in, it's worth reaping a return from it as well.
A bank may be regretting an attempt to talk up its ethical track record. They should instead have focussed on the ethical challenges being tackled. So if you were an insurer, what ethical challenges would you be talking about?
Homeserve are outsourcing their complaint handling. Hopefully this will involve pro-actively contacting those who could have been mis-sold one of their policies. Let's hope they're learning from this saga.
Survey finds that less than 10% of companies in the FTSE100 report on their ethical performance. Those in the insurance and financial services sectors have good reason to make sure they're amongst that that do.
The launch of a new landmine charity is to be applauded, but its supporters from the insurance and broking community need to reflect on any association they may have with companies who manufacture ordnance of similar indiscriminatory effect, cluster bombs being the most obvious example.