Issues & Answers: Yield of Dreams

Lauren Magro, financial analyst, AM Best, said mutual insurers' premium growth is outpacing rising loss costs and driving improved loss ratios. Magro spoke with AM Best TV at the 130th annual NAMIC convention, San Diego.

Raj Bector, senior partner, and Piyush Sharma, partner, both of McKinsey & Company, explain how AI could cut costs by up to 40%, shift roles from “doers to reviewers,” and create a competitive divide between firms that embrace full-scale transformation and those that fall behind.

Bryan Hodgens, senior vice president and head of LIMRA research, explains why standalone long-term care coverage remains scarce, and how hybrid products are emerging as key solutions to help families and younger consumers manage rising caregiving and retirement risks.

Subramanian Sankaran, chief operating officer at Xceedance, said artificial intelligence is a multiplier, and if operations are fragile, AI multiplies fragility.”

Amar Reganti, managing director and fixed income and global insurance strategist at Wellington Management, said insurers enjoy the benefits of higher yields right now, but they should also make sure they are getting diversification across their entire spectrum of investments.

Aaron Hillebrandt, principal and consulting actuary for Pinnacle Actuarial Resources, spoke with Best’s Review about the importance of brokers and broker relationships.

Through the Predict & Prevent podcast, Peter Miller, president and CEO, The Institutes, spotlights how data, AI and collaborative innovation can help the insurance industry move beyond risk transfer to proactive resilience and loss prevention.

Tim Grant, AVP auto insurance, LexisNexis Risk Solutions, explains how advanced segmentation and violation insights help insurers price risk, boost retention and improve road safety.

Michael van Wegen, head of client and market insights international, Gallagher Re Global Strategic Advisory, discusses how reinsurers are balancing strong returns with rising catastrophe losses and market headwinds.

Diane Delaney, executive director, Private Risk Management Association, discusses how insurers can guide affluent homeowners in managing coverage gaps and preparing for evolving risks.