InsureTalk49: innovate, adapt and thrive!

InsureTalk 49 took place via Zoom on Thursday, 20 February 2025. The theme “Innovate, adapt, thrive: Shaping the future of insurance in a digital age” drew some incredible presentations from our speakers, with digital transformation and AI (unsurprisingly) topping the bill.

MC Christelle Colman, CEO of Ami Underwriting Managers, kept the webinar going admirably, in true InsureTalk style.

Joel Rothman, co-founder of insdi, opened proceedings. His presentation focused on the importance of reducing client effort in digital engagement to enhance customer loyalty.

He referenced a 2010 CEP survey, which found that 96% of customers who experience high-effort service interactions become disloyal, compared to only 9% of those with low-effort interactions.

“Customer retention isn’t just about minimising effort for clients,” he said. “It’s also about how they feel during the engagement process.”

Joel conducted a live poll among InsureTalk participants, who highlighted paperwork, claims processing and technology challenges as major pain points in client interactions. Joel said he himself had had to deal with complex medical paperwork in 2020 when his wife had to undergo extensive surgeries and treatment.

“Throughout that medical journey, I was fielding the medical paperwork and my goodness, was that a mission!” he said. “Between the hospitals, the specialists, the medical aid, the gap cover… there were just so many documents and forms and signatures to be made it nearly drove me mad.”

Joel’s company, insdi, was set up to simplify digital client engagement.

“Traditional processes, like filling out PDF forms and lengthy email exchanges, create inefficiencies,” he said.

Using a humorous “Tom Cruise applying for Top Gun 3” scenario, he outlined key lessons for effective digital engagement: eliminating password-related frustrations, avoiding excessive back-and-forth communication, ensuring fast-loading interfaces, personalising interactions and streamlining multiple processes into a single, intuitive portal.

He also highlighted the challenges businesses face in implementing such solutions, including cost, regulatory compliance and internal priorities.

“insdi offers a seamless, secure, locally hosted alternative that eliminates these barriers, enabling businesses to improve digital engagement without expensive development projects,” he said, before inviting attendees to get in touch to discover it for themselves.

Tarina Vlok, managing director of Elite Risk Underwriters, followed Joel. Her talk explored the key trends, insights and strategies shaping the insurance industry in 2025.

“Non-life insurers need to navigate a rapidly evolving landscape influenced by technological advancements, climate change and shifting customer expectations,” she said.

Drawing insights from PwC’s Insurance 2025 and Beyond report, she identified five global trends driving transformation: rebuilding trust in financial institutions, ESG (Environmental, Social, and Governance) priorities, AI and digital innovation, customer-centric insurance models, and emerging risks such as climate change and cyber threats. “Insurers must embrace innovation, collaboration and customer-centricity to remain competitive,” she said.

A key focus was on technology and AI, which are reshaping underwriting, claims processing, and customer interactions. AI-driven predictive analytics enable personalised services, risk modelling and operational efficiency. Tarina highlighted Old Mutual Insure’s use of AI-powered bots to automate policy administration, reducing manual tasks for underwriters and improving broker-client relationships.

“We are also seeing a shift towards on-demand, usage-based and behaviour-based insurance models, as customers now expect seamless, customised, proactive risk management solutions rather than just financial protection.”

Climate change and cyber threats were identified as major challenges for the industry.

‘The increasing frequency of natural disasters requires holistic catastrophe modelling and collaborative risk mitigation strategies rather than insurers simply withdrawing from high-risk areas,” she said.

Cyber risks, regulatory changes, economic instability and geopolitical factors in South Africa further complicate risk management.

Tarina advised insurers to adapt pricing and claims strategies, embrace partnerships beyond traditional industry boundaries and collaborate with insurtech firms to drive innovation.

“We must become customer obsessed, align our strategies and engage with customers according to their preferences,” she said. “To do this we need to focus on data driven insights and predictive analytics as well as qualitative research to ensure we fully understand our client base.”

Samantha Fleming from insurtech Simply Financial Services explored how AI and technology can empower brokers in South Africa, rather than replace them. She used the analogy of riding an e-bike – where technology assists rather than takes over – to illustrate how AI can streamline processes, enhance efficiency and allow brokers to focus on client relationships.

“AI is an assistant, not a replacement,” she said. “It should be used to help us work smarter and faster by automating repetitive tasks, improving customer experiences and reducing operational costs.”

Key drivers of AI adoption include:

• Increasing customer expectations for instant, personalised services.
• The need for business efficiency to reduce manual processes.
• The competitive advantage that AI-powered insights provide.

Sam highlighted how AI enables data-driven sales, predictive analytics and retention strategies by identifying at-risk clients and suggesting proactive engagement.

“Brokers can leverage big data platforms like Google and Facebook to target ideal prospects, optimise acquisition costs and personalize marketing strategies,” she said.

Sam also showcased how Simply has digitised traditional insurance processes, reducing policy issuance time from three weeks to under an hour.

“AI-powered tools help brokers with personalised client recommendations, digital onboarding and seamless policy management,” she said. “Everyone should be exploring free AI tools such as ChatGPT, Canva and Synthesia for marketing, content creation and admin tasks. BUT, always be sure to fact-check AI-generated content!”

Enhancing, not replacing

Sam addressed common concerns about AI, reassuring brokers that human relationships remain central to the business. Compliance, legacy technology and upskilling are challenges, she said, but AI is a tool to enhance, not replace human expertise.

“Looking ahead, AI will continue to shape the broker industry, offering new opportunities for growth, efficiency and stronger client relationships,” she said. “So, don’t be afraid to embrace AI as an enabler to help you work smarter, sell more and future-proof your business!”

Next up was our traditional segment from IISA CEO Thokozile Mahlangu, who spoke on CPD, skills development and industry growth.

“Nearing the end of February means we’re getting closer to the end of the CPD cycle, which is coming to an end at the end of May,” she said. “We want to remind our members that you have access to free CPD-accredited content, including daily webinars, research materials and thought leadership articles available on the membership portal. You can also read CPD-accredited content Cover magazine and FAnews, to mention a few.”

She urged members to submit their CPD activities to ensure they remain in good standing.

Development and growth

The IISA places a strong emphasis on skills development and professional growth. Thokozile invited companies to partner with the institute for customised skills development programmes tailored to their needs.

“We also encourage organisations to host member activations, which allow employees to learn about the benefits of accreditation and engage with industry professionals.”

Another of the IISA’s amazing offerings to the industry is the Youth Accelerator Programme. This is a key initiative focused on empowering young professionals and unemployed individuals with technical skills and industry knowledge.

Founded in 2003, the programme continues to grow, with the first cohort about the graduate, the second cohort nearing completion and the third set to begin mid-year. Thokozile called on insurers, brokers and underwriting managers to support the programme by providing practical experience and employment opportunities for graduates.

Finally, Thokozile discussed the ongoing review and redevelopment of industry qualifications.

She closed by inviting non-members to become accredited professionals, positioning themselves for career growth and distinction in the industry.

Rianet Whitehead, FAnews editor and founder of The Insurance Apprentice (TIA), followed Thokozile in the hot seat. She reminded guests that while the insurance industry faces significant challenges, there are also massive opportunities for those who approach them with the right mindset.

“Economic pressures, regulatory shifts, climate change risks, cyber threats and trust deficits remain key concerns,” she said. “However, the industry’s ability to innovate and solve problems is stronger than ever. The move toward risk prevention, embedded insurance, usage-based models and AI-driven claims processing is reshaping the way insurers operate. These trends –although not yet fully realised – are gaining momentum.”

A major highlight of Rianet’s talk was TIA 2025, which has now been filmed and, for the first time ever, will be aired on national television. TIA showcases the talent, relevance and impact of the insurance industry, helping to improve public perception and rebuild trust – a key theme for the year.

Regulatory updates

Rianet also touched on regulatory updates, including COFI (Conduct of Financial Institutions Bill), which aims to consolidate financial sector laws, and the NHI Act (National Health Insurance), which remains a controversial and uncertain development. She also highlighted ongoing regulatory shifts, such as the FSCA’s three-year regulatory plan, which will impact governance, compliance and risk management practices.

Rianet urged the industry to focus on three pillars in 2025: Innovation, Integrity, and Inclusion. She stressed the need for new thinking, transparency and the inclusion of fresh talent to ensure the industry’s success.

Unathi Lu, a talented guitarist and vocalist from Pietermaritzburg, provided the entertainment, playing a beautiful set courtesy of Business and Arts South Africa (BASA). Unathi is currently pursuing a Bachelor of Music at the University of Cape Town, specialising in classical guitar.

CN&CO’s Blake Dyason, founder of The Insurance Directory (TID), gave a passionate talk about TID – a resource that has grown significantly over the past five years.

“This whole thing kind of started by mistake,” he said.

While working at RiskAfrica years ago, he helped launch The UMA Directory, which was widely used in the industry. However, when RiskAfrica closed, the directory also disappeared.

“During lockdown, I was inundated with emails from brokers searching for contact details of insurers and underwriters,” said Blake. “I soon realised my old database was outdated, so I created a simple one-page website to house the information.”

But demand quickly grew beyond expectation. Blake consulted brokers and insurers to identify what they needed most, which led to three key features of The Insurance Directory:

1. A centralised platform where brokers can search and compare products, services and companies.
2. The ability to connect with decision-makers specialising in specific products.
3. A platform for underwriters and niche insurers – many without large marketing budgets – to publish thought leadership articles and share insights with brokers nationwide.

Today, the online directory hosts over 1 000 insurance and investment products and attracts thousands of brokers every month.

The success of the digital platform led to the reintroduction of a printed version. King Price approached Blake asking if a hard copy was available, prompting him to take a risk and print 2 000 copies.

“It was a huge success, and subscriptions have since grown to over 5,000 copies,” he siad. “We’ve made a commitment to print a hard copy every two years, ensuring advertisers receive maximum value while maintaining an up-to-date digital platform.”

Blake encouraged underwriters, service providers and insurers to get listed in the directory to showcase their products to brokers. He also announced a special offer for InsureTalk attendees: “We’d like to offer everyone on InsureTalk a complimentary copy of the 2025 Insurance Directory.”

Get your free copy of The Insurance Directory

That offer is actually open to all members of the insurance industry, including suppliers. Just click here to register and Blake will send a copy of the 2025/2026 Insurance Directory to your door!

Blake was followed by his CN&CO colleague, founder Carel Nolte.

Carel’s talk was a celebration of the insurance industry, its history, innovations, and – above all – its people. He reflected on quarter-century in insurance, sharing how the industry has evolved from something people entered by default to one that professionals now actively choose as a career.

“Insurance is a bedrock of the economy, enabling businesses to take calculated risks, innovate and thrive,” he said.

Drawing from personal experiences, Carel spoke about Proudly Insurance, an initiative he co-founded with Margaret Nienaber and Viviene Pearson to instil pride in the industry.

“Insurance is an industry of stories,” he said. “Every single person on this call has a story about insurance – your colleagues, your clients. And insurance really is an industry of real stories with real impact.”

He encouraged guests to share these stories, as they serve to educate, inspire and preserve the industry’s legacy. Quoting ITOO chairman Paolo Cavalieri, he explained how insurance touches every aspect of life:

“Take any copy of the Business Day as an example,” he said. “Every story in the newspaper will have an insurance connection.”

Carel highlighted South Africa’s leadership in insurance innovation, listing world-firsts such as Discovery’s behaviour-based insurance model, Pineapple’s AI-driven peer-to-peer insurance, AllLife’s HIV-specific life cover and early telematics-based car insurance.

He praised industry initiatives like The Insurance Apprentice, saying: “It’s incredible to see where past participants are now – many of them are in senior leadership roles.”

He also spoke about the importance of mentorship, sharing stories of industry leaders who have shaped the sector and left lasting legacies, including the late Nan McLennan and Ed Chihambakwe, both of whose impact still resonates in the industry.

Ending on an inspirational note, Carel reminded attendees that insurance is about people and relationships. He acknowledged that some might attend InsureTalk simply for CPD hours, although the webinar’s original purpose is far greater than that:

“At the heart of insurance is simply people and relationships. Let’s keep shaping the future of insurance together.”

Simon Colman, liability expert, chief judge on The Insurance Apprentice and found MC of the InsureTalk series, had the graveyard shift. His talk explored the impact of AI on litigation risk, spelling out both its opportunities and potential dangers. While acknowledging AI’s transformative capabilities, he expressed concerns about over-reliance on these tools, saying: “I don’t like to close on a negative note, but I do think it’s important that we think about the exposures and some of the risks associated with AI.”

He referred to AI’s rapid evolution as an “AI invasion”.

“Every conference now has multiple speakers discussing AI, making it difficult not to feel overwhelmed,” he said.

He highlighted AI’s dominance in technology markets, citing ChatGPT, Microsoft Copilot, and Google Gemini as major players.

“DeepSeek, a Chinese AI model, has already gained 1.8 million users within two weeks of launch, raising questions about AI’s accessibility and regulatory oversight,” he said.

The ethical and legal risks of AI

Simon explored philosophical and ethical concerns around AI, challenging the assumption that AI will inherently improve human life:

“Would being more intelligent improve our lives?” he asked “AI promises that we will be more successful if we use artificial intelligence. But does intelligence equate to morality? History has shown us that some of the most intelligent people have committed the worst atrocities.”

He likened AI’s trajectory to the unchecked rise of social media, which was initially marketed as a force for good but later contributed to cyberbullying, misinformation and hate speech.

He warned that AI lacks regulatory guardrails: “We made a mistake with social media. We didn’t put the guardrails in place before we launched it. And I’m sorry to say we have not done that again with AI.”

AI’s reliability: The risks of “prompt bias”

Simon conducted an AI experiment using ChatGPT to evaluate underwriting risks. He asked ChatGPT to assess a mining liability risk with tailings dams, known for causing catastrophic failures. When prompted positively (“Give me reasons to insure this mine”), AI provided a favourable risk assessment. However, when prompted negatively (“Give me reasons NOT to insure this mine”), AI presented the same data but with a completely opposite risk conclusion.

“On the left, ChatGPT tells me that the mine has advanced monitoring systems to prevent collapses. On the right, the same AI says the monitoring data is alarming and indicates structural failure.”

This prompt bias poses a serious risk for decision-makers relying on AI without human oversight.

Simon highlighted several businesses that suffered losses due to unchecked AI reliance, including:

• A New York City chatbot advising businesses to illegally fire employees and ignore food safety laws.
• A law firm that used ChatGPT-generated case law in court – only to realise the cases did not exist.
• Airlines and sports magazines publishing AI-generated articles riddled with errors.

He also discussed emerging professional liability risks:

• Doctors using AI for diagnoses could be liable for incorrect medical recommendations.
• Engineers relying on AI calculations could see structural failures if errors go unchecked.
• Security firms replacing human control rooms with AI could lead to false alarms or misinterpretations.

“More and more security companies are using AI,” he said. “But what happens when a false alarm sends armed guards rushing in, guns blazing, because AI misread the situation?”

Simon stressed the urgent need for AI governance and regulation, warning that governments are lagging behind

“The genie is out of the bottle, and there’s no going back. We need AI regulation before it spirals beyond control.”

He also touched on cybersecurity concerns, noting that AI can be used both for cyber defence and cyberattacks. Without proper safeguards, AI could be exploited to hack into systems or generate vulnerabilities.

Simon concluded by emphasizing AI’s dual nature as both a revolutionary tool and a potential risk. He shared a humorous yet revealing AI-generated example:

“Our AI chatbot, Billy, was trained strictly for insurance, yet when asked about Star Wars, she started analysing Darth Vader’s litigation risk for destroying planets with the Death Star!”

Referencing Oppenheimer and the dawn of nuclear energy, Simon ended with a thought-provoking quote: “The optimist thinks this is the best of all possible worlds. The pessimist fears that it is true.”

You can watch the entire edition of InsureTalk49 below. Remember to let Llewellyn know you’ve watched it to qualify for your 2.5 CPD hours. You can email him at llewellyn@urbanmotion.co.za.

InsureTalk50 takes place on 13 March 2025 at 10am. Register at https://insuretalk.co.za.