Swiss Re believes insurers can improve societal resilience
Noting that the pandemic is expected to lower global resilience by 20% in 2020, the result of “countries' fiscal and monetary headroom” being adversely affected, the company approximates that the insurance protection gap across three segments (mortality, health and natural disaster) will reach US$1.24trn.
Among those countries which are to be hit hardest - the article speculates these to be Japan, the US and the UK - Swiss Re that the government-sanctioned spending which was necessary to sustain the lockdown could ultimately hinder future development significantly.
“A focus on replenishing resilience by reinstating fiscal and monetary buffers, through structural reforms to improve long-term growth prospects, will be critical,” said Jerome Jean Haegeli, Group Chief Economist.
Addressing protection gaps
Far from being equally affected, the company’s research indicates that natural disaster resilience will be least exacerbated, with health resilience remaining relatively stable despite some deterioration.
However, health and mortality protection gaps are expected to widen noticeably as households are strained by unemployment, lower income and generally more expensive healthcare costs.
Despite this, Haegeli is adamant that the insurance industry can step in as a force for good during this time and improve people’s quality of life:
“The widening global protection gap is a huge opportunity for insurers to fulfil their mandate as risk absorbers and improve societal resilience.
"In times of crisis, households need risk protection. Insurance is a key tool to help households reduce their financial vulnerability in disruptive environments."
Assessing economic health
Swiss Re’s ‘Macroeconomic Resilience Index’ was launched to easily convey the resilience of countries using the aforementioned criteria (natural catastrophes, mortality and healthcare).
According to its research Switzerland, Canada and Finland rank consistently in the top three ‘most resilient’ in terms of economic strength converging on the ability to withstand shocks.
Image courtesy of Swiss Re
Tribe and APOLLO announce national insurance campaign
Tribe Property Technologies in partnership with APOLLO insurance has announced a national insurance campaign to digitise insurance for condominium owners, renters, landlords, and developers across Canada. The aim of the campaign is to make insurance access easier and faster for owners while improving the coverage and protection of condominiums and rental buildings.
According to several surveys, nearly half of 4.5mn rented houses in Canada do not have tenant insurance protection, meaning those individuals and their families are put at risk of fire and water damage.
What does the national insurance campaign include?
According to Tribe, the company is working with APOLLO to ensure that this type of insurance is easier to access. It aims to achieve this by introducing a direct connection to APOLLO's insurance technology from both Tribe's strata and condo management platform and rental software to allow for increased education and awareness for owners into insurance risks and options.
It also includes the future ability for notifications for mid-term cancellations, and plans to offer protection from potential strata/condo corporation deductibles, Tribe said.
"We are excited to partner with APOLLO to bring accessibility, visibility, and education around insurance options to our communities and reflect the current lifestyle expectations of condo owners and residents while protecting the value of their biggest assets", said Joseph Nakhla, Chief Executive Officer of Tribe.
Nakhla added: “This agreement with APOLLO is just the first step under our Digital Services & Partnerships revenue pillar. We will continue to layer on services to drive revenue for Tribe, and bring convenience and savings for our users, with the goal of being able to offer a one-stop-shop to our development partners and the over 100,000 residents in Tribe-managed communities”.
APOLLO uses technology as a channel between insurance brokers, carriers, and their mutual clients, offering insurance options from multiple companies on one integrated online platform.
"We like that Tribe is taking a fresh approach to condo living and building smart homes through tech-enabled service, and an integration with their Community Platform supports our goals of making insurance more accessible and supporting the needs of communities”, said Jeff McCann, Chief Executive Officer of Apollo.