We begin the year with a review of the trends that are going to mark the world of insurance in the new year.
Of course, PIB Group Iberia is here to help you with any questions you may have. Let's review the three main trends and see how they can affect you.
The influence of new technologies on the world of insurance.
Increasingly we need to be aware of how the online world affects us at all levels. Communications have changed, but so has the way we understand our security and the use of our personal data.
We are very exposed and we should not only think about the world of social media. The use of the artificial intelligence is in our daily lives, even if we don't realise it. In fact, many insurers are using it for data management to make more accurate risk assessments, thus improving their profitability.
One of the most important elements of this year's insurance focus will be the cybersecurity. We cannot ignore the importance of protecting our personal data and those of our company, because we are exposed and we can give ourselves more than one scare. We should not think that we are not exempt from risks, as we are all susceptible to an attack on our personal and professional data. The vulnerability of companies is still evident, as every week we read articles related to attacks on the data and systems of Spanish companies. Hence, cyber insurance is a type of policy that is growing at very high rates, and not only for large companies, even small ones are exposed. In fact, they are less likely to take security recommendations into consideration, and the effect of these cyber-attacks on SMEs is devastating: it means the closure of 60% of SMEs, according to an eKaspersky Lab studio.
Knowing how cyber insurance works is crucial to protect your data and your company's data, and don't forget, it can happen to you as it can happen to any of us, because we are all exposed. At PIB Group Iberia we can help you to know the cyberinsurance that best suits your business. A fundamental tip to minimise risks is to work on prevention, and changing passwords periodically is essential.
On the other hand, we must take into account how communication has been facilitated by the rise of new technologies through tools like the chatbots. It is interesting to see how they are increasingly being introduced in the world of insurance companies. Insurance companies such as AXA, Mutua Madrileña and Mapfre have already introduced chatbots in their customer communications. In this way, they are able to offer total availability, providing the customer with a constant service and reducing costs. Their implementation is the order of the day and will be a trend throughout this year: new ways of communicating with our customers, more effective, closer and full time.
The impact of climate change and natural disasters.
Insurers in the security sector are upgrading their security systems with respect to the natural disasters. We cannot fail to bear in mind situations such as the fires that are ravaging Australia or the effect of heavy rains such as DANA left in our country.
Insurance companies are constantly updating how to assess risks, to do so in real time and thus improve the coverages and types of risks to be covered.
In addition to the Insurance Compensation Consortium (Consorcio de Compensación de Seguros), In addition to a unique figure in Europe that is in charge of the management of these natural disasters, more and more insurance companies are introducing changes to streamline the management of these situations.
New products for retirement.
The social change we are witnessing is more than evident. In Spain this past 2019, the lowest number of births since 1941 was recorded. We are in an eminently ageing society whose pension system is faltering: there is not enough working mass to support the retired population.
Therefore, the emergence of new products that guarantee the quality of our retirement is the third of this year's main trends. If we add to this the low interest rates we are currently experiencing, we are forced to look for savings formulas that help us to generate returns without exposing ourselves to risks we are not willing or able to bear.
These low-risk products are attracting a lot of interest in the market and are expected to continue to grow this year. PIAS savings plans are among the most flexible and profitable savings plans available.
