insurance industry - Afrikan Heroes

Is This The Insurance Industry’s New Normal? – By Travys Wilkins

July 28, 2020

Travys Wilkins, Executive Director at SureStart South Africa

When the government first announced a national lockdown back in March, countless businesses were left scrambling to make working from home work. Sure, distributed work was probably on the cards for many of these companies but being forced to enable your entire team to work remotely in a matter of days is easier said than done.

A 2017 report from McKinsey & Company, which focused on digital disruption in insurance, stated that CEOs cannot simply “sanction” digital transformation; they need to communicate their digital strategy with the company and then outline why it’s important to make the changes they’re planning to make. But when a global pandemic strikes, there isn’t much time to have these conversations. You need to act and adapt. And you need to do so as quickly as possible.

At SureStart (www.SureStart.co.za), as a digital-first business, we were lucky because we could make the transition to distance work fairly simply. But beyond the nuts and bolts of digitising and keeping things running internally, we’ve also seen a shift in consumer buying behaviour. Where insurance was traditionally sold via a broker face-to-face, social distancing measures mean that customers have had to get comfortable with buying insurance via digital channels.

And this is where things could get tricky for the industry.

For the most part, customers don’t buy insurance; they’re sold insurance. But in an online world, the onus is on the customer to seek things out. Until there is a mind shift on the consumer side – towards buying insurance, not being sold insurance – it’s likely that we’ll soon see a move back to pre-COVID norms. But this doesn’t mean that insurers should hold off on using this opportunity to leverage digital to automate and streamline their processes. In fact, I’d argue that the “new normal” will be a more hybrid model, with outbound staff complemented by digital channels.

This is especially important when it comes to client support staff.

Something a lot of people have struggled with during the lockdown is uncertainty. The businesses that have been open and transparent with their customers, those who have communicated effectively, are the ones who will come out of this looking good. If your advisors, call centre agents and brokers aren’t able to communicate with customers face-to-face, you need to make sure that there are other channels in place so that your clients aren’t left in the dark.

It’s about options

According to a recent Deloitte report, modern insurers need to understand that traditional principles don’t hold the same value as they used to. If insurers want to drive the disruption needed to stay relevant among consumers who expect seamless experiences at every touch point, they need to embrace a new approach.

Our shift to remote work happened fairly easily but that doesn’t mean that our lockdown experience has been hurdle free. We’ve seen losses due to product exposure in travel and entertainment, which emphasises the importance of product and distribution diversification.

Winston Churchill once said that you should never waste a crisis and I think this sentiment is especially true today. Businesses must use this situation to better prepare for the future. When you have the right solutions, technologies and strategies in place, it’s easier to adapt when things aren’t going according to plan.

Travys Wilkins, Executive Director at SureStart South Africa.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Cigna Corporation Extends Role to African Markets

May 11, 2020

As part of ongoing efforts aimed at reinforcing its commitment to the fast-growing insurance industry in the Middle East and Africa (MEA) region, Cigna Corporation, a global health services company, has appointed Jerome Droesch as Chief Executive Officer for the Middle East and Africa (MEA) region, expanding his remit to include all markets across Africa. In addition, Mr. Droesch has been appointed as Senior Executive Officer (SEO) and Chairman of the Cigna Insurance Management Services (CIMS) Board in the Dubai International Financial Centre (DIFC). He continues to serve as a Board Member of Cigna’s joint venture operations in India and Turkey.

Mr. Jerome Droesch has successfully led Cigna’s Middle East business, where he has strengthened the company’s position as an industry leader, achieving growth and stability for Cigna across the region. The expansion of his role will further accelerate Cigna’s growth, creating synergies across the Middle East and Africa markets, enabling the company to offer more accessible and convenient solutions to its customers. The move reinforces Cigna’s commitment to the fast-growing insurance industry in the MEA region. Speaking on the development, President, Cigna International Markets, Mr. Jason Sadler, said that “Jerome is a seasoned leader with extensive experience driving business growth in the health insurance sector. I am excited to continue working closely with him to further strengthen our presence across the MEA region, through a dedicated consumer-centric approach.”

“Africa has always been a key growth market for Cigna and combining both markets makes sense operationally, since a large number of clients and brokers are unifying their MEA activities,” said Jerome. “Over the next few years, we aim to strengthen our product portfolio and focus on delivering service excellence to people and businesses across the MEA region.” Jerome’s career spans over 28 years in the insurance industry. Prior to joining Cigna, he served as CEO of AXA Partners and was directly involved in insurance businesses in the Gulf Cooperation Council (GCC) region.

Kelechi Deca