The motor insurance revolution
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This reflects the importance of this industry in the insurance ecosystem, where it stands as one of the pillars alongside life and other non-life insurance.
Having grown steadily for decades, motor insurance has proved to be resilient, with the Covid-19 pandemic acting as a catalyst for its transformation while other sectors were severely strained. The crisis, a full-scale crash test, pushed motor insurance into a world focused on new technologies and data analytics.
The impact of climate change, the rise of electric vehicles and the need to regulate the new risks posed by autonomous vehicles are also changing the insurance landscape where insurers are continually required to adapt their models and schemes to meet consumer expectations.
The only concern for insurers is that the massive introduction of new technologies can lead to an increase in the cost of claims due to the growing complexity of repairs and new risks. For example, any impact to the aluminum bodywork of an electric vehicle requires the intervention of bodywork specialists. Furthermore, repairing the battery alone could account for up to 50% of the cost of the vehicle.
At the forefront of this revolution is Chinese insurance giant Ping An, which is playing a significant role in the evolution of the sector by leveraging its expertise in the use of advanced technologies.
Allianz (Germany), AXA (France), GEICO (United States) and other major global insurance leaders are also taking part in this revival.
