A Zurich-based reinsurance and insurance company, Swiss Re, has projected a 10 percent growth in global insurance, according to a report by the firm.
It said that the drivers of this projected growth are increased exposures, risk awareness and evolving needs of clients.
The report cited the need for insurance firms to step up their offerings and close the “protection gap”, as the need for protection increases.
It said, “These developments as have been observed come in the form of insurers being more sensitive to claims and people’ s frequent exposures to emerging risks that could cause devastating losses.”
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The firm’s Chief Executive Officer (CEO), reinsurance, Moses Ojeisekhoba, said, “There is a clear recognition that claims’ frequency and severity is rising as demonstrated by recent natural catastrophes or cyber incidents,” said Swiss Re’s CEO of reinsurance, Moses Ojeisekhoba.
“This means the need for protection is growing, and the industry has important work to do in offering insurance and closing the protection gap. Swiss Re’s extensive risk knowledge and very strong capital position allow us to support our clients in their growth ambitions.
“Climate change poses the biggest long-term threat to the global economy. The world economy is set to lose up to 18 per cent of gross domestic product from climate change by 2050 if no mitigating actions are taken.
“While climate change is a real threat, it also poses the largest growth opportunity to the industry, as major investments will be necessary. To achieve the 2030 agenda for global sustainable development, investments in the order of $6.9 trillion a year will be required.”
