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INSURANCE companies have been urged to prepare for the impending deregulation of the insurance sector through investment in technology. Insurance Institute of Zimbabwe president Mr Chomi Makina told delegates to the IIZ annual conference that the deregulation of the industry which most countries are pushing for will usher cross border business.
“We need to be ready to expand into new markets, new countries and to also welcome new players into our market.
“It is my hope that this conference will open our eyes and at the same time equip us with ideas to grow our businesses, develop appropriate products, and serve the public better”, he said
He added that the impending competition would favour those companies that are investing in new technology.
“The insurance landscape has become competitive. Technology is changing everything.
“Organisations need to invest in new technology to keep up to speed.
“Those that are embracing it will definitely survive into the future. Because of the fast pace of technology, the industry must innovate in order to remain relevant in this changing world,” he said.
Mr Makina said bridging the technology gap was one of the many challenges that the insurance sector was contending with in a difficult operating environment.
“There are so many challenges that we must overcome in order to move forward. The outlook looks promising, however, in the short to medium term; we will have to deal with challenges that are beyond our influence such as liquidity constraints, manufacturing industry operating below capacity, high unemployment levels, low employee remuneration levels, high interest rates and lack of direct foreign investment.
“As you are all aware, our economy recently came out of a difficult period which unfortunately tainted the sector.
“There are issues that we still have to address. It is gratifying to note that as an industry we have started tackling some of the issues head on.
“In this respect, we have seen industry associations carrying out public awareness campaigns in the media.
“These efforts need to be complimented by all insurance players. It is only through securing and justifying the confidence of the public that we can shape the future of insurance in Zimbabwe,” he said.
To this end, he said the conference theme, “Shaping the future of insurance in Zimbabwe” was therefore a wake-up call to all insurers to start defining and shaping the future of the industry.
The conference, which began on Sunday will end tomorrow.
Online Reporter