Where are Senior Leaders planning to focus their efforts between now and 2025?
ESTIMATED READING TIME: 5 minutes
This report asks:
- Are life, property and casualty insurance companies doing the work today to contend against tomorrow’s competitors?
- How do insurance firms plan to use technology to compete between now and 2025 in an increasingly digital world?
- Are they planning to leverage the potential of cross-industry digital ecosystems?
- What are the traits of their corporate culture that will ensure their success between now and 2025?
To address these and related questions, in 2021 Tata Consultancy Services surveyed more than 1,200 global companies with an estimated average revenue of $14.6 billion across 17 industry sectors. The sample included 52 life, property and casualty firms, 79% headquartered in the UK or Europe, 17% in North America, and 4% in Asia-Pacific.
The TCS 2021 Global Leadership Study also compared the strategies of two subsets of insurance firms: “Leaders,” which had both superior revenue and profit growth from 2015 to 2019 compared to other insurance companies, and “Followers,” which reported inferior financial performance during that time. The logic: The second half of the 2010s was a highly digital era, and insurance companies with the best financial performance did many things right, so they are the ones to learn from, especially when compared to those with less stellar financial performance.
Even though “innovation” was named the leading cultural trait needed for insurance firms in meeting the demands and opportunities of the next few years, only the industry’s “Leaders” — even more than Leader firms in other industries — are prepared to do the work to succeed in the new digital landscape on the horizon. That’s because unlike their industry peers, these Leaders’ executives expect the greatest competition to come from outside the bounds of the traditional insurance industry.
Where insurance companies think their single-most formidable competitor will come from by 2025.
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