Digital Insurance survey: 2022 predictions

January 18, 2022 6:47 AM

How will the insurance industry transition out of COVID-19 crisis mode? Is such a thing even possible? Digital Insurance fielded a survey in October 2021 to find out where stakeholders across the sector see their businesses entering 2022. A total of 97 insurers, agents, brokers, and insurtech firm representatives responded. Following is a selection of our findings.

Six out of 10 respondents expect a full economic recovery to come after July of this year. What could threaten a return to growth? Increased expectations around digital interactions (if insurers aren’t ready to meet them) tops the list, followed by lingering pandemic effects and inflation.

To meet those prioritized digital interactions, both carriers and agencies are focusing on customer service as their top transformation area this year. Insurtechs, perhaps looking to provide some of those solutions, are focusing on product development

Another majority of respondents – 58% – expect tech giants such as Amazon, Tesla, Apple, Facebook, or Google to become “major” competitors to the industry in the next three years. Both Amazon and Tesla have made explicit moves into the insurance industry already, with Google dipping its toe in in the past as well.

Three-quarters of respondents say their tech spending will increase in 2022 relative to 2021. That spending will lean into big data and analytics, as well as cloud infrastructure, more than other technology areas.

Meanwhile, most respondents are embracing fully the post-COVID expectations for home work. But a sizable minority is back in the office or limiting the ability to work at home.

Nathan Golia

Editor-in-Chief, Digital Insurance