While most industry sectors have torn up their 2020 predictions in the wake of the global economic downturn due to the worldwide COVID-19 pandemic, the insurance market has continued to perform, catastrophic events being part of the business model to a certain extent. Global insurance pricing has increased for the tenth consecutive quarter since Q4 2017 and in Thailand the market has continued to grow for both Life Insurance & Non-Life Insurance companies, with the country ranked as the second largest insurance market in ASEAN.
The pandemic has had an interesting, encouraging impact on the insurance sector. With the inevitable spotlight on health and safety, consumers have become much more aware and increasingly active with their own policies, creating an upturn in activity. And although a pandemic is not an insurable event itself, the sector will be at the heart of future discussions with governments and businesses to help mitigate any similar crisis. Insurance companies have therefore continued with their growth plans, often attracting new talent from less stable, non-insurance sectors that have experienced a decline.
In the months before and throughout the pandemic, the sector in Thailand has been experiencing change at pace, in terms of technology advances and regulatory amends, such as the recent Data Privacy Act, Cybersecurity Act and a rise in the promotion of corporate governance. The ongoing digitisation of the industry has seen rapid adoption of AI and RPA, with InsurTech and SupTech disrupting the landscape further. With this set to continue for the foreseeable future as more companies continue their digital transformation journeys, the surge in new tech roles has opened up Insurance as a career option for candidates with specialist skills from related areas such as banking and FMCG. Disruption in the form of technology always opens the door to new players that were early adopters, and as such, competition is growing. This has resulted in some significant M&A over the last couple of years as the major players look to consolidate their positions.
Despite more candidates from outside the sector being attracted to the stability of insurance companies, there is still a talent shortage in Thailand, which has resulted in reskilling and upskilling moving up the corporate agenda. Insurance companies are also rethinking their recruitment strategies in terms of reaching out beyond their usual candidate pool, which is resulting in more movement of talent across the ASEAN. Because of the wealth of specialist, niche roles across the Insurance sector, there are plenty of opportunities for candidates with the right skill sets, with the best in the enviable position of being able to choose from the top employers to advance their careers.
Are there any other key trends you’re expecting to see in Insurance in 2020? Let us know! Or if you would like to find out more about opportunities in the sector, get in touch for a confidential discussion.