What role can insurance play in building resilience?

Inform your discussions and decisions this week.?More frequent extreme weather events, geopolitical instability and economic uncertainty are reshaping industries worldwide. Few are more exposed to the risks associated with these trends than the insurance sector.

Insurance premiums need to reflect heightened levels of risk with the vulnerability of ageing infrastructure and extreme weather events inflicting increasing amounts of damage. In 2022-2023 rises in premiums for home insurance, for example, outpaced increases in disposable incomes in big markets including the US, the UK, Germany, Australia and Japan, making insurance far less affordable. At the same time, the industry faces challenges such as new technologies, shifting consumer expectations and evolving regulations. Insurers must adapt to these changes, which will shape the industry’s future.

In this changing environment, scenario planning is essential. Such planning identifies how important drivers of change may develop—enabling businesses to respond, plan and build resilience for what’s next.

Paths to 2040: four possible scenarios for the insurance sector is a new briefing paper from Economist Impact that is sponsored by SAS. Informed by expert interviews, it presents four visions of the insurance sector in 2040, shining a light on the trends expected to reshape it. The scenarios are designed to spark new ideas, challenge assumptions and explore what the future might hold for the insurance industry.

Also in this issue, read why Jason Buechel , chief executive of Whole Foods Market, believes we need climate-smart farming on a broader scale, and uncover what motivates investors to choose between AI developers and adopters.?Plus, as risks change, so does the remit of influential jobs. With this in mind, learn about how the role of the general counsel is evolving as crises become more severe and frequent.

Megatrends are reshaping insurance. Explore four different visions of the world—and how each would affect the global industry.

Decode how new technologies can strengthen supply chains and lead to better use of resources, while reducing emissions.

Join us in London on March 10th-12th to empower businesses to accelerate their sustainability strategies, going beyond “reduce and reuse”.