Mutual insurers see comeback, challenges ahead
The mutual insurance sector has seen something of a comeback in recent years according to a report from
Swiss Re.
Mutual insurers’ share of the overall global insurance market grew from 24 per cent in 2007 to 26 per cent in 2014 following decline for some decades; but the report highlights challenges ahead.
They include adapting to new risk-based capital requirements and more stringent corporate governance arrangements, which could put some mutuals at a competitive disadvantage. They must also embrace digital technology to remain relevant, the report says.
"That mutuals' relative premium performance did not reverse once economic growth resumed after the financial crisis, suggests a degree of permanence to the segment's recovery," says Kurt Karl, Chief Economist at Swiss Re. "Some mutual groups have expanded internationally in recent years, and new mutuals have been established in a number of markets, another indication of the segment's renewed popularity."
Despite the gains, mutuals’ share of the life insurance market is well below its high of the 1980s and 1990s when they had 66 per cent of the market.
Sun Life announces new healthcare business area
Canada’s Sun Life Financial has announced a new business area called Digital Health Solutions.
The business will focus on providing innovative solutions to health and wellbeing to enable customers to access healthcare products, make healthy choices and better manage chronic conditions.
"This new business area will connect Sun Life with technology start-ups and health care innovators to fast track the development of new digital ideas in the health space to engage and help Canadians," commented Sun Life president Kevin Dougherty.
The insurer’s former CFO Chris Denys will head the new business unit as Senior Vice-President of Possibilities, Digital Health Solutions, Sun Life Financial Canada.
"This new business area represents another significant step that Sun Life is taking to advance the company's digital innovation strategy to support the well-being of Canadians,” Denys said.
Why your clients may be at risk from this everyday item
Something that your clients (and you for that matter) use every day could be putting business security at risk.
As more organizations switch from traditional telephone systems to those that use the internet – known as VOIP – a cyber security expert is warning that there is an increasing risk of systems being attacked.
Speaking at the recent Black Hat USA conference, Fatih Ozavci from Context Information Security warned that a lack of understanding of internet-based phone systems.
Risks include hackers bypassing security measures, injecting malicious content to messaging, caller identity spoofing and billing bypass, along with problems caused by insecure configurations.
“By exploiting these vulnerabilities, attackers could gain unauthorized access to client systems or communication services such as conference and collaboration, voicemail, SIP trunks and instant messaging,” Ozavci warned.
