KPMG 2024 Insurance CEO Outlook

120

120 Insurance CEOs

11

Countries

55%

Over US$10 billion revenue

Economic uncertainty may finally be starting to recede, but boardroom uncertainty seems to be at an all-time high across the insurance industry. And for good reason: insurance CEOs are dealing with a complex set of pressures and challenges — growth, digital transformation, talent and sustainability — that require bold decisions and concrete action. Decisions made today will help to shape the business well into the future.

However, despite economic headwinds, insurance CEOs are confident that they will be able to grow their business over the next three years — both in terms of earnings and headcount. But competition is growing, and organizations are pulling several levers to drive the growth they require. CEOs are highly focused on accelerating their digital transformation, delivering on their ESG agenda and enhancing productivity. And at the same time, they recognize the need to infuse the organization with new talent and to embrace new technologies — Gen AI in particular — if they hope to achieve their growth objectives.

Key findings from our research

73%
Despite economic headwinds, 73 percent of insurance CEOs are confident about their company’s growth prospects and 93 percent expect to increase the size of their workforce over the next three years.

81%
In 2024, insurance CEOs were more than twice as likely as the all-industry average to agree they were utilizing AI to help speed up data analysis. Eighty-one percent of insurance CEOs consider Gen AI as a top investment priority for their organization.

63%
ESG continues to be a key focus for many insurance organizations, with 63 percent of insurance CEOs confident that they will meet Net Zero goals by 2030.

54%
Only 54 percent of our respondents say they are ‘well prepared’ for a cyber attack (down from 66 percent last year), and just 43 percent think their cyber strategy can keep up with the rapid advancements enabled by AI.

The good news is that many insurance CEOs are making strong progress on a range of key topics. This latest survey highlights that insurance organizations are embedding ESG into their strategies, investing into Gen AI and emerging technologies, upskilling their workforces and enhancing their diversity and inclusion. But there are clear challenges that should be carefully navigated to help build a business fit for the future.

Frank Pfaffenzeller
Head of Global Insurance
KPMG International

The KPMG 2024 Insurance CEO Outlook highlights both challenges and opportunities for the insurance sector. While 73% of CEOs are confident in their growth prospects and 93% plan to increase their workforce, priorities like generative AI, ESG strategies, and cyber resilience remain critical. With only 54% feeling prepared for cyber threats, addressing these vulnerabilities is key. At KPMG in Cyprus, we are dedicated to supporting insurance leaders with innovative solutions, helping them embrace emerging technologies, enhance sustainability efforts, and build future-ready businesses.

Michael M. Antoniades
Chairman, Head of Insurance
KPMG in Cyprus

Methodology

The KPMG 2024 Insurance CEO Outlook, part of the 10th edition of the KPMG 2024 CEO Outlook, is compiled from the views of 120 insurance chief executive officers, which was conducted between 25 July and 29 August 2024, providing unique insight into the mindset, strategies, and planning tactics of CEOs.

All respondents oversee companies with annual revenues over US$500M and a third of the companies surveyed have more than US$10B in annual revenue. The survey included CEOs from 11 key markets (Australia, Canada, China, France, Germany, India, Italy, Japan, Spain, UK and US) and 11 key industry sectors, including insurance. NOTE: some figures may not add up to 100 percent due to rounding.

In the insurance sector research, the two largest sub-sectors were Auto, Home, Property and Casualty with 31 percent of respondents and life insurers with 30 percent. The best-represented countries based on organizational headquarters are the US and the UK, followed by China, India and Canada.