What are your New Year’s resolutions for 2018?

Stephan Ruoff, chief executive, Tokio Millennium Re:
I believe in and subscribe to the Japanese productivity philosophy of ‘Kaizen’, which focuses on continuously improving every function of a business, from the CEO to all of the employees throughout the organisation. In a sense, it combines the collective talents within a company to create a powerful engine for improvement.

TMR made significant strides in 2017 in shaping its underwriting and pricing functions, together with the implementation of a new operating platform, to meet the needs of the future reinsurance marketplace.

We realigned our underwriting and pricing teams into a unified risk selection function to enhance the full underwriting cycle of broker/customer interaction: planning, reporting, data management, pricing and underwriting decision making.

In doing so, we are also creating what TMR sees as the “underwriter of the future”: a combination of being a data scientist (a natural evolution to TMR’s analytical focus to underwriting), a portfolio optimiser and an account manager.

As the industry goes through disruption from many angles, TMR is embracing this change and aiming to create new opportunities and challenges for its employees even though we have also seen some personnel changes within our underwriting teams in the past year.

As part of our continuous effort to adapt to changing market conditions and customer needs, our underwriting and pricing functions were further strengthened in October with the arrival of our new CUO, Brian Secrett, who is based in our UK office.

Together with Brian, in 2018, my New Year’s resolution is for TMR to continue reviewing and adapting its underwriting vision, offering and services to serve our customers in the best way possible as new opportunities arise in the re/insurance market.

Kelly Lyles, chief executive, client & country management, insurance, XL Catlin:
Staying close to clients is regularly at the top of my New Year’s resolutions—there really is no substitute for understanding their businesses. I’ve already blocked time in my diary far into 2018 for sitting down with clients and brokers to stay informed about the issues and challenges they’re facing.

Another key imperative is to stay focused on the future, whether that includes new product innovations or simply ensuring existing products are keeping pace with our clients’ needs.

Technological change and innovation are progressing incredibly fast these days and the landscape is full of exciting developments. In 2018, I expect that artificial intelligence (AI) will play an increasingly prominent role in understanding and gaining insights into our clients’ business and risks.

AI of course is poised to disrupt a wide assortment of industries. The opportunity with our industry is twofold: firstly to gain deeper insights into risk and secondly to deploy technologies that improve our own operational efficiencies. That’s why in 2017 we started working with Cytora, a UK-based insurtech startup that uses AI and open source data to improve the way insurers quantify, select and price risk.

Erik Abrahamsson, CEO, Digital Fineprint:
My brother maintains a healthy spirit of competition with me when it comes to sport, so hopefully keeping in shape should be doable in 2018 too. One personal promise is to reach out and create more partnerships with more startups in our space, since we can do so much more if we work together.

I’ve also promised the team more puppies, better quality coffee and new pingpong bats for the office to start off 2018!

Samit Shah, insurance solutions manager, BitSight:
My resolution for 2018 is to drill down into third-party and vendor risk management topics from a variety of perspectives: underwriting, portfolio risk management, and loss control. I resolve to help cyber insurance underwriters understand the importance of integrating third parties into the underwriting process.

I also resolve to engage not just with larger, enterprise customers in 2018, but also small and medium sized businesses. While large enterprises often have the money and resources attractive to hackers, in 2018, I would like to illustrate the importance of cyber insurance for small and medium-sized businesses, which also have much to lose if not properly protected. In 2018, I hope to see more cyber insurance providers underwriting for these small companies in an effort to help them efficiently transfer their cyber risk as well.

Nigel Teasdale, head of motor, law firm DWF:
Firstly, as a director of MedCo, I am determined that 2018 will be the year that MedCo concentrates on improving the quality of medical evidence in low value claims, without the distraction of MROs trying to circumvent the system.

My position on the MedCo board and as a member of the MOJ steering group overseeing the whiplash reforms will see me meeting regularly with other stakeholders to see this reform through to a conclusion.

One thing that will be different about 2018 is that I’ll now be immediate past president of FOIL after my presidential year has just come to a close, though I’ll remain part of the organisation’s National Committee and hopefully closely involved in developing its strategy as well as its continued work with parliamentarians.

I’m hoping though that during 2018 that I’ll be able to spare time for a worldwide tour visiting some of DWF’s new offices which have opened in 2017 in Germany, France, Australia, Singapore, Italy and Canada, as well the new associated offices in Saudi Arabia and South America. Come to think of it, I may not return!

Iain Bremner, managing director, Barbican Managing Agency:
Given the rate increases that resulted from the multiple major events that occurred in 2017, our main resolution will be to maintain the highest possible levels of underwriting discipline in order to continue the pricing corrections that this has created. Too often our industry succumbs to market forces that drive drops in pricing and unsustainable pushes to increase market share. We must resist this urge, if we are to achieve profit and rate stability.

2017 was another successful year for Barbican in facilitating the entrance of new companies into the Lloyd’s and the wider London Market, most recently with the establishment of Toa Re Special Purpose Arrangement (SPA 6132) which will introduce new business into the London Market and also expand Lloyd’s reach into the Japanese market. Our goal in 2018, will be to continue to seek opportunities to set up similar mutually beneficial partnerships. We are currently in discussions with a number of interested parties and we would hope that some of these discussions will lead to the launch of further platforms in the future.

David Gittings, chief executive of the Lloyd’s Market Association:
Our key resolution is to improve the Lloyd’s customer experience by seeing through claims modernisation initiatives. Lloyd’s claims performance has set the bar higher for our competitors around the world but we always see room for improvement.

We have several steps in train to achieve this. We have embarked on a claims transformation process which will materially improve the customer experience while delivering significant benefits to the London Market through the implementation of streamlined processes and new efficiencies.

Key principles driving this development are faster settlement, improved access, process efficiencies and operational excellence. To achieve them, we, the bureau, and third parties will work to advance several existing and new initiatives.

These include customer and broker portals to improve the visibility of claims and enhance distribution, the Single Claims Agreement platform which harmonises claims between Lloyd’s and the company market, a direct settlement and fund management platform to better serve customers and a catastrophe claims platform which exploits satellite imagery to provide up-to-the-minute catastrophe loss intelligence, including for our delegated authority holders.

Julian Tighe, CEO, Asta:
Before the string of catastrophe losses struck the market in the second half of the year, closing the performance gap was the big story from Lloyd’s. Asta responded to this challenge by looking very closely at its roster of 2018 entrants to ensure that each one fits against the criteria of keeping the Lloyd’s Market in line with prevailing business conditions.

The Market outlook is likely to change for 2018, with the opportunities to write well-priced business now growing.

Nonetheless the overarching message is addressing performance. Lloyd’s is supporting expanded stamp capacities, and therefore extended underwriting for established syndicates who are in a position to take advantage of potential rate increases. However, Asta will continue with its focus on those new business opportunities that truly add value to the market as a whole.

One way we will do that is by building on the market’s existing efforts to expand internationally. We believe that Lloyd’s will do less flag-planting in the year ahead, and instead concentrate more on leveraging the flags it has already planted by bringing more business to London directly from its geographical sources. A substantial amount of very good risk fails to find its way here, even though it is attractive to the market, and would be a positive addition. Asta will continue to help it into Lloyd’s, one way or another.

Ståle Hansen, president and CEO, Skuld:
For 2018, our continued focus will remain on personalised service to brokers, members and clients. We anticipate further organic growth through our existing platforms: Skuld P&I, Skuld Marine Agency, and Skuld 1897. We aim to maintain our core focus on selection and quality tonnage, regardless of prevailing market conditions, and to continue delivering reliable, competitive, high quality service to our members. It is also crucial that we continue to invest in digitisation, to ensure that we remain efficient and relevant in our service to members, brokers and clients.

To any client or colleague I recommend, as a New Year resolution: say no to the next unnecessary project, explain yourself, and focus on the vital.

Michael Tripp, head of financial services, Mazars:

To ensure clients get true value and productive feedback; and to continue learning in respect of data science especially using Stephen Covey’s 7 habits.

Peter Allen, partner, Moore Stephens:
I think many clients, particularly but not only in the largest global organisations, are just too busy. Their firms start too many initiatives and their organisation’s ability to think them through properly and deliver to quality is challenged. (Of course, to any individual client reading this I say at once: you are a wholly honourable exception.) There is inadequate resource and the conflicting expectations of investors, regulators, and customers are as high as they have ever been.

Luzi Hitz, CEO, PERILS AG:
New Year’s resolutions are like business plans: each plan is only as good as the next one. I am therefore cautious about making New Year’s resolutions as we all know that the world is a dynamic place.

At PERILS, we are happy with how we are progressing. Our plan for 2018 is to continue on the path we have taken and carry out our work in the most professional, consistent and transparent manner possible. We need to make sure that all users of PERILS data understand how they are produced and how they can be used to measure risk better.

Our value proposition as a post-event data collector is as strong as ever. After HIM, it might be even stronger. I am therefore very optimistic that if we can continue to breach the data gap that was the driving force behind establishing PERILS, we will continue to achieve the levels of success we have to date.

Adam Safwat, vice president, underwriting & business development of IGI:
I am not one for making New Year’s resolutions; I would prefer to use the approaching new year as a time to revisit progress made at IGI and to set out strategies for growth and prosperity for 2018. I would give the same advice to the insurance and reinsurance markets. Now is the time for the industry to learn from and react to the mistakes made and losses incurred in the past.

For IGI, we will continue with our ambitious growth plans to expand in new and existing markets. We have established a platform for a truly global company, with offices in Dubai, London, Amman, Casablanca and Kuala Lumpur, and have recently made a number of structural and operational changes to help us achieve our next stage of development.

For example, I have moved over from Amman, Jordan to London, along with IGI President Waleed Jabsheh, who has also taken up the role of Executive Director of the Board at IGI UK. London is an important trading centre for IGI, with the majority of our senior underwriters based in the city writing international portfolios.

It is the ideal location to help steer IGI into an exciting new phase of our development. London has a huge deal of experience to draw upon to help other less mature regions, and I aim to help the underwriting teams that I have grown to know so well in Amman continue with their ambitions to collectively reach our full potential as an organisation. We have also made some other management changes to help efficiently manage our strategy of enhancing geographic platforms and expanding business lines and underwriting teams.

Artur Niemczewski, chief executive, Pro:
As an industry service provider, you would probably expect to hear something along the lines of ‘digital robots delivering Santa’s presents to Pro’s favourite clients’.

In all seriousness, I would like the market to become more efficient, and my New Year’s resolution is to help Pro’s clients become more successful in their endeavours, by achieving greater profits, better management of risk and cost efficiency savings.

There is always a case for keeping your core competencies in house, including pricing, underwriting or actuarial work. However, specialists like Pro are able to deliver support functions cheaper, faster and in a more flexible manner. This might include underwriting support, accounting or claims processing.

The big challenge for 2018 is to find ways for the London Market to retain its competitiveness in the current environment. Part of the answer is not just to cut costs blindly, but to evaluate every component in the business process to try to improve the efficiency and cost-effectiveness of the chain, by using specialists like Pro.

Johannes Martin Hartmann, chairman of the board of directors, VIG Re:

Nobody seriously denies any more that new technologies and a developing society are changing our risk landscape and the way we deal with this. But I have my doubts that these aspects will be as disruptive as claimed. Insurtechs have failed so far to reach out to the clients. On the other hand, incumbent players have made significant efforts to adapt their business model by partnering up or integrating new technologies, ideas and talents. The trend will continue to unfold and accelerate. On the other hand I do not believe that only size matters, most big players will struggle with their legacy. But the future will shine for the agile players.