Tech innovation rated ‘more critical’ for FTSE 100 insurers than banks

A survey of FTSE 100 leaders has found 88% of insurers believe tech innovation is key to their business strategy over the next 5 years.

Tech innovation rated ‘more critical’ for FTSE 100 insurers than banks

This was highest of all industries surveyed, including the technology and communications sectors (82%), banking (76%) and healthcare and retail (56%).

The survey also found that 81% believe that attracting capital to London after the UK leaves the EU will be more difficult, and 75% think that attracting talent will be harder for The City. 

This concern was echoed by the insurance leaders included in the survey, who also raised concerns about London’s ability post-Brexit to not only attract capital and talent to the market, but also the negative impact on investing in their London operations, if the UK fails to retain access to the single market. 

The two main reasons for companies being headquartered in the UK were given as London being one of the most connected cities in the world, and for being the main financial centre in Europe.  These two were also the top reasons given by insurers. 

The insurers surveyed stated that New York, Amsterdam and Singapore posed the greatest competitive threat to London.

Caroline Coates, Head of Insurance Sector at DWF, said: “Insurers have a considerable presence in the FTSE 100 and their concerns about technology and access to capital and talent should be strongly noted.  A reduction in the supply of these key elements will limit their ability to operate and may, in turn, reduce London’s role and influence in the global insurance market.” 

The survey, “City of London: Blueprint for growth” was conducted by Raconteur in January and February 2017 on behalf of insurance law firm DWF and asked 150 senior C-suite executives from FTSE 100 companies about London’s challenges and future. 

It covered a range of issues affecting the UK’s leading companies, from the effect of Brexit on London’s position as a global business destination to the key technology issues being confronted, and the challenges facing women in today’s workplace.

For all the latest insight, news and data on the global life and health insurance and reinsurance markets, visit www.lifeinsuranceinternational.com