At this point, we probably don’t need to explain that the Coronavirus has been declared an insurance catastrophe. Potential losses are now estimated to be close to $10 billion, with approximately 250,000 business interruption policies in question. However, you’re probably wondering where to from here?
Perhaps this is the chance for the industry to show that innovation in insurance has arrived and is here to stay.
In times like these, the insurance industry can be a force for good and demonstrate the critical part insurance plays in protecting lives, business and the broader community.
What’s next in the BI ruling?
The Insurance Council of Australia has announced they are indeed appealing the ruling in the High Court. At this stage, the ongoing dispute will not be cleared up until 2021.
In the meantime, it’s important to consider whether your business has the team in place to support the potentially significant increase in claims volumes that many are anticipating as a result of the court’s decision.
How has Covid affected the shift to Digital?
Since March, a lot has changed. One key change is the interactions with both customers and clients. We predict this change is not going away. Whilst digitalisation within the insurance industry has been a priority in recent years, the crisis has proven to be a catalyst for accelerating the development of digital channels and the increased push for broader self-service platforms.
To be able to interact with clients and customers, digital became the only option in 2020 which has cemented its value far beyond question.
Flexibility in the industry
Did you know that as of September 2020, 65% of the insurance and finance industry have moved to working from home? Many employers are considering embracing this working model well into the future too. If your business has not considered extending this option to your staff – consider the why not. Important to bear in mind is that 73% of insurance policyholders now agree that having product and service flexibility is as important as value for money (KPMG).
Many have had to consider being extra accommodating of the unique circumstances their customers have found themselves in as a direct result of the very challenges presented by COVID-19.
As a specialist in the insurance market, Fuse is well placed to support your business and respond to any temporary and /or permanent resourcing needs that you may have to most effectively manage any changes in the market, or business and economic environment, off the back of COVID-19; or any increase in claims that may flow into your business as a result of the BI court ruling.
Find out more about how our specialist insurance team can help your business, contact us here.