Insurance companies are aware of the financial technology (fintech) revolution: 74% of respondents in a survey of insurers globally see fintech innovations as a challenge for their industry. This was revealed in the 2016 PricewaterhouseCooper Global FinTech Survey, which is based on views of 544 respondents from 46 countries, principally: chief executive officers, heads of innovation, chief information officers, and top management involved in digital and technological transformation. The respondents are distributed across five regions: Asia, Europe, Latin America, North America, and Africa.
While a large part of the industry acknowledges the challenge, only 43% have adopted fintech as part of their strategy. Those who see it as a threat say they are concerned about the pressure on margins (73%) and loss of market share (69%). But among potential gains from fintech, say some insurers, are cost reduction (81%) and differentiation (65%).
