Insurtech Talent Development in Hong Kong – From Insurance to Insurtech: Strategies for Building a Sustainable Talent Pipeline

7 Introduction Insurtech is also driving the development of the online insurance business. It has helped to simplify conventional manual procedures, which in turn have reduced administrative costs and created opportunities for innovation in several insurance segments, such as health, life, and motor. This has impacted customers, capacity providers, intermediaries, risk originators and vendors of technology. At the same time, the digital transformation of insurance enabled by insurtech is being welcomed by clients as it enhances their control over their plans and finances. For example, the time needed for customers tomanage their claims and investments is shortened by insurtech. An important example is in motor insurance, where surveyors and claim adjusters are able to review automobile damage remotely using video calls and photographs. This shift has greatly reduced both the time required to manage paperwork and overdue claims.14 With the more diversified premium levels and personalized protection insurance products are now being offered to clients through insurtech, there is also a strong level of recognition among insurers about insurtech’s many advantages. They feel that its appropriate deployment can lead to better data capture at source, collaboration for improved models, enhanced predictive analysis, as well as improved prices, services and products. The Urgent Demand for Talent A major challenge in the domain of insurtech and the insurance business is the hiring and retention of talented manpower. It can be difficult and costly as many potential employees, especially younger people, view insurance as a “stuffy, old and conventional” industry. Compared with some new, dynamic technology startups or established disruptors such as Google, Microsoft, Tesla, Apple, Samsung, Huawei, etc., the insurance industry has less appeal. Therefore, attracting competent talent in the domain of information and communication technology has been difficult. Insurtech will see greater demand for employees with technology and data skills in the coming years. Being a leading innovator in fintech, HongKong aspires to be a leader in related technologies including insurtech. Hong Kong will require a substantial and continuous supply of appropriately skilled people for successful insurtech adoption and diffusion in the economy. As insurtech bridges the gap between insurers and technology, there will be a high demand for employees who can effectively apply insurtech to reduce that gap. Besides technical skills, some soft skills will also be needed by the workforce to professionally perform automated tasks. An adaptive, agile and flexible staff will be needed for navigating the upcoming changes and challenges. 14 Randstad Singapore (2020, November). Insurance Market and Talent Trends 2020 . https://info.randstad.com.sg/ hubfs/04.%20SG/Files/Randstad%20Singapore%20-%20Insurance%20Market%20and%20Talent%20Trends%202020.pdf