INSURANCE RANKINGS

availability of skilled tech talent to support their digital transformation roadmaps,” Kai Weng advised.

General insurers should also expend efforts in providing cyber insurance to small and medium enterprises (SMEs). A report by QBE revealed that 42% of SMEs in Singapore have indicated that they conduct seven to eight processes online but lack basic protection for these technologies. 21% of SMEs have also said that they have been ‘hacked into’ at some stage back in 2019.

“This is worrying given that SMEs account for 99% of businesses in Singapore and employ more than 70% of the workforce. Any largescale cyberattack would potentially mean widespread losses. This, hence, underscores the urgency for insurers to step up efforts and educate businesses on the importance of cyber insurance,” Kai Weng said.

Kai Weng added that since the pandemic, greater awareness towards protection has been prevalent amongst consumers.

“At the back of an uncertain macroeconomic environment, sustained inflationary pressures, increasing sophistication of cyber threats, and climate change, there will no doubt be a new wave of challenges posed for insurers. Against this volatile landscape, there is a need to adjust operations accordingly to cope with the unknown as this could mean large and unexpected liabilities and the consequent increase in claims and costs. With this trend, therein exists an opportunity for insurers to innovate and deliver products with strong value propositions that meet these,” Kai Weng said.