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In 2021, climate-change actions by U.S. regulators will create both challenges and opportunities for insurers.

Electric vehicles’ market share may surge from 2% to more than 25% by 2035, with major implications for drivers, insurers and a host of businesses.

This is an exciting era for insurance, and actuaries have an opportunity to expand and redefine their roles in these changing times.

Big Tech companies are breathing down the necks of insurance companies. Giants like Amazon, Apple and Google have upped their innovation games in recent years, setting the customer experience bar higher than ever with their data-centric, consumer-focused business models.

With the outbreak of COVID 19, the use of telehealth services for health diagnoses and treatment surged in 2020. In fact, according to the Centers for Disease Control and Prevention, during the first three months of 2020, the number of telehealth visits increased by 50%.

Almost one year into lockdown and with no end to restrictions likely for the foreseeable future, the outlook for many does seem bleak. But there are silver linings that are becoming increasingly evident. One of the most apparent is the sheer display of true British resolve, where people have found innovative ways to start their own small businesses after being furloughed or made redundant.

Accenture research suggests that for North American insurers, customer experience and distribution innovations deliver the best returns. Since agents play an outsized role in the customer experience and expanding distribution, we recommend insurers focus on innovations that will empower agents throughout the customer journey.

Timid steps are giving way to massive reorganizations and wholesale redesigns of compensation programs.

The idea of the core taking a backseat is a myth: Core systems are not necessarily the drivers of digital projects, but they are the enablers.

Now that conditions are beginning to settle, we need to look at 2021 as a “rebuilding” year; more of a reset than a resumption of what was.

The reality is that almost all insurers believe that digital transformation is essential. This belief has only been reinforced by the pandemic.

Innovation is integral to the success of an insurance company today. With the increased pace of change in society, climate and technology – exacerbated by the COVID-19 pandemic and the work from home era – innovation has become a core driver of the short-term and long-term success of insurers.

Adapting to new ways of working and thinking is never easy, but the insurance industry is ripe for a revolution, and it is up to industry leaders to understand the trends that will lead the way.

Beyond digital transformation based on largely proven technology, insurers must patiently explore the capacity of emerging technologies, such as AI and Big Data, for reshaping business processes over the longer term.

Findings from the Xpedition Innovation Equation Report clearly demonstrate the recognition amongst insurance professionals of the importance in delivering omnichannel customer engagement.