And just like that…2024 has flown by! Thank you to everyone who has read, shared, subscribed and otherwise supported Future Insurer this year. Wishing you all a Merry Christmas and a Happy New Year. Happy Holidays and can’t wait to see what 2025 might hold for #InsurTech and #Insurance!🎄 See you in the new year.
In this special Christmas Edition, we will not only look at the top #InsurTech and #Insurance news stories from the past fortnight, but also take a glimpse through the looking glass into what 2025 might hold.
If you’re new here, welcome! 👋 This fortnightly newsletter highlights the most intriguing #insurtech and #insurance developments from the past two weeks. Be sure to hit subscribe to stay updated!
Now, let’s dive into this edition’s top picks…
In this edition’s news:
⚡ Crypto regulation – both in policy and by enforcement
In our last edition, we had a bit of a big crypto update. But wait, there’s more! In Australia, ASIC is taking legal action against Binance Australia Derivatives for alleged consumer protection failures. ASIC is also consulting on updated policy guidance for digital asset business licences. Superannuation fund AMP has invested $25M in Bitcoin…going where no super fund has gone before. No doubt insurers will want to be watching this space in 2025.
📢 GICOP Final Report Released
The Final Report for the Independent Review of the 2020 General Insurance Code of Practice being undertaken over 2023/4 has now been released. There are 101 recommendations made in the Final Report, with a focus on customer experience, vulnerability, accessibility and pro-active measures.
🔋Lithium Ion battery investigation
Insurance Australia Group is leading an initiative to research risks associated with lithium-ion batteries. The aim is to develop comprehensive safety guidelines for the use and storage of lithium-ion batteries in light of an increase in incidents involving lithium-ion batteries in devices such as E-Bikes and E-Scooters.
🚗Autonomous Vehicle Study with Swiss Re
Driverless cars might be one step closer! A Waymo/Swiss Re study analysing liability claims related to collissions from 25.3 million fully autonomous miles driven by Waymo. The study found that Waymo outperformed the overall driving population when compared with Swiss Re’s data from 200 billion miles of exposure, showing an 88% reduction in property damage claims and 92% reduction in bodily injury claims
🔎2025 Predictions
What are your 2025 Predictions? Leave them in the comments.
Let me go first!
- Increasing convergence of crypto and traditional finance markets together with regulatory clarity on digital assets
- The AI hype will cool but still be important, some investment will redirect back into other InsurTechs including distribution and MGAs.
- Product innovation will continue based on customer data but there will be increased rigour around its use.
- Prudent capital management and underwriting in light of changing geopolitical landscape; political instability with Ukraine/Russia conflict and Trump presidency
- Continued global supervisory focus on operational resilience and consumer value in insurance
- With the commencement of climate change reporting, the associated governance and liability issues will come into the spotlight as will focus on the insurance industry’s role in the transition to Net Zero
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Tim Chan is an insurance & insurtech lawyer at global law firm Norton Rose Fulbright and Founder of The InsurTech Lawyer blog. He regularly advises insurers and startups on emerging legal issues affecting the industry. Follow Tim on Twitter: @timinsydney
