Overcoming Challenges of the Caribbean Insurers

With frequent natural disasters, uncertain economic expansion, increased competition, technology advancements, and customer expectations, the Caribbean region presents complex challenges in the insurance market. The recurrent natural calamities have made economic insecurities a major concern across the region. Though natural disasters can’t be controlled, a little preparedness can lessen the impact of disasters by structuring in advance the emergency response system and having a short-term and long-term damage control plan towards the reduction of vulnerability. The short-term measures include monitoring of hazard, prompt forecasting, identifying early warning systems, evacuation plans, and shelters, specialized networks of responders and contingency plans in critical sectors.

In the long-term planning, Insurance is a coping mechanism that has proven successful and treats everybody equal when compensating for the losses. It’s a huge relief fulfilling financial needs at the time of disaster and insurance can take care of financial resurrection. However, not everyone is eager to be insured. There are many instances in both private and public sector where people fall short of insuring themselves even when they have the budget. There is also a group of the underprivileged lot who cannot afford insurance premium and hence stay uninsured.

Additionally, the Caribbean insurance industry continues to add capacity with new players offering their services online. This has led to price-based competition and motivated insurers to develop new products. Technology advancements such as augmented reality and other emerging digital technologies have shown areas that can create new opportunities for insurers. In all this, insurance industries are struggling to keep pace with the technological evolution, investment in digital platforms, and the consequence of natural calamities.

Today, investment in technology platforms have become essential to enhance the operational efficiency, end-to-end management, and reduce risk exposures. Damco’s InsureEdge is a scalable technology platform designed to help Insurers achieve maximum benefits through its comprehensive modules covering policy administration, claims processing, reinsurance, dashboards and statutory reporting, agency management, and more. InsureEdge has the industry’s most comprehensive and flexible insurance processing functions for multiple lines of businesses, including P&C Insurance, Life Insurance, and General Insurance.

Damco is one of the sponsors of the 38th Annual Caribbean Insurance Conference and we can’t wait to catch up with all the latest happenings in the Insurance Market in the Caribbean. So see you in Montego Bay, Jamaica from June 3rd to 5th 2018.