THE Insurance Institute of Zimbabwe (IIZ) says insurance players must be more agile, foresighted and adaptable in the face of mounting challenges facing the industry.
The insurance industry is currently battling legacy issues dating back to over two decades ago and a continued economic meltdown due to an unstable exchange rate that continues to erode policies.
Legacy issues relate to the economic collspse of 2008, triggered by hyperinflation, which resulted in the local currency being scrapped for a multicurrency regime the following year.
Insurance policyholders incurred significant losses to their policies, leading to the Insurance and Pensions Commission drafting an insurance and pension loss compensation framework which forces players to compensate clients for any incurred losses.
In a speech read on his behalf by Econet Life chief life and principal officer Godwin Mashiri at the ongoing IIZ Winter School in Nyanga yesterday, IIZ president Tatenda Katoma warned that the industry would soon find itself on death bed.
“The insurance sector itself stands at a critical juncture, where we are presented with challenges which demand agility, foresight and adaptability. We need to learn, it is very critical. However, within every disruption lies the seed of opportunity, a chance to redefine our practices, embrace emerging technologies as well as transform the way we serve our clients and communities,” he said.
“As we embark on this journey together, let us not view disruption as a threat, but as a catalyst for positive change. Let us harness the power of innovation, data analytics and digital transformation to propel the Zimbabwean insurance industry into the future, defined by resilience, efficiency and customer centricity. This is very critical.”
Katoma said the winter school offered the industry a unique platform that delved into the pressing issues and exchanged ideas.
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He encouraged participants to be equipped with the knowledge and skills needed to navigate the complex terrain of modern insurance.
“Insurance, as we used to know, is not only insurance. It’s changing and we need to get the skills that we’re going to get today, and during this week, to review how we are doing things. Let us seize this opportunity to learn from our speakers, to challenge our existing assumptions and to envisage a future where disruption becomes a pathway to success,” Katoma said.
“Together, let us explore the intersection of disruption and opportunity. And let us emerge from the winter school equipped with tools, insights, and inspiration to propel the insurance industry to a brighter future which is more sustainable because if we are not careful, the insurance industry is going to be a dying industry.”
IIZ general manager Davison Choeni said this was a very important moment for the industry to confront the disruption with a spirit of resilience and ability to seize the opportunities.
Zimbabwe’s insurance sector found itself at crossroads in the face of unprecedented technological advancement, evoking customer expectations and shifting regulatory landscape, Choeni said.
“It is a juncture where we must not only adapt to change, but actively embrace it as a means to innovate, evolve and thrive in a dynamic environment. Ladies and gentlemen, as a beacon of knowledge, a hub of collaboration and a springboard for progress within our industry, over the coming days, we have the privilege of engaging with experts,” he said.
“We want to take this opportunity to exchange insights and honour our skills to improve ourselves on the challenges that await us in the future. I encourage each of you to approach this winter school with an open mind and a sense of curiosity and a readiness to embrace change. Let us engage in thought-provoking discussions, challenge conventional wisdom and explore new avenues for growth and development.”
Choeni said the industry should confront and give solutions to challenges it faced.
The IIZ Winter School is being held under the theme, Disruption and Opportunity Equipping the Zimbabwean Insurance Industry for the Future.
