CEOs upbeat about short-term growth: KPMG

Insurance CEOs may have lost some confidence in the global economy amidst the current geo-political and economic landscape, but most of them (85 percent) remain confident about their own company’s short-term growth prospects, according to a survey by KPMG.

While many believe they can outperform the market over the next year, the survey suggests they are much less confident about the future, with the majority of CEOs expecting less than two percent topline growth over the next three years.

Nonetheless, it is a positive sign that the majority of CEOs view technological disruption as an opportunity, rather than a threat, to create competitive advantage and improve their operations.

As insurers start to transform their organisation and embrace new models and technologies, new risks emerge. Emerging technology risks rose to top the list of concerns followed by operational risks, suggesting that CEOs are worried that their transformation initiatives may be straining their business and operating models. In response, insurance CEOs seem to be shifting their strategic priorities to focus on fostering innovation, become more data-driven, and implementing disruptive technologies.

While many CEOs admit concern about the future and emerging technology, less than half of them plan to increase investment into innovation and emerging technologies over the next three years.