Westminster Business Forum

Since lockdown, we have been organising our full programme of conferences online. We will continue online until further notice, to ensure we play our part in helping our employees and delegates to remain safe during this time. We are pleased that so many key stakeholders, policymakers and other interested parties - both old friends and new delegates - are taking up the opportunity to discuss public policy issues and network at our impartial seminars. New events are coming on to our conference programme all the time. So there are plenty of opportunities for you to join us if you haven’t already, from wherever you are. For booking-related queries, or information on speaking, please email us at info@forumsupport.co.uk or contact us using one of the following numbers: +44 (0)7538736244 / +44 (0)7503591880 / +44 (0)7951044809.
For delegates already booked on, we will send you the online joining instructions (including links, event numbers and passwords) five working days before your conference. If you cannot find these in your inbox please email delegate.relations@forumsupport.co.uk

Next steps for the UK insurance industry - regulation and reform, consumer protection, climate change, and the market following COVID-19 and Brexit

Morning, Wednesday, 10th February 2021


***Full-scale policy conference taking place online***

The background to the discussion:

  • FCA sets out proposals to tackle concerns about general insurance pricing  - the final report of the market study into the pricing of home and motor insurance
    • concerns - that these markets are not working well enough for consumers
    • proposals for reform - through enhancing competition, ensuring consumers receive fair value, and increasing trust, including:
      • customers will pay no more for renewals than if they were new to their provider and using the same payment channel such as online
      • the aim to lessen the reliance on consumer inertia to enable increasing renewal price to consumers over time
    • consulting on further recommendations - to make it easier to stop automatic renewal across general insurance products, requiring data sets from firms to verify that rules are being followed, and new product governance rules requiring firms to consider how they can deliver fair value to consumers over the long-term
  • potential rule changes following Brexit and the Solvency II Review:
    • the end of the transition period which will see the Government able to set its own insurance regulations and potentially move away from those set out in the EU’s Solvency II
    • Solvency II Review: Call for Evidence - the Government examining the regime that currently regulates the prudential regulation of insurance firms in the UK, with the aim of:
      • fostering a vibrant, innovative and internationally-competitive insurance sector
      • improving protection for policyholders
      • ensuring the soundness and security of firms and support growth in the sector
  • Independent review of flood insurance published - Amanda Blanc’s review, commissioned by government on why many of those affected by flooding in 2019 did not have sufficient insurance
    • with the Review finding gaps in consumers awareness of their options in areas at risk of flooding
  • Government publishes new strategy to kickstart data revolution across the UK - launch of the Government’s wide-ranging National Data Strategy
  • The Price Of Accuracy: Consumer Attitudes To Data And Insurance - from the ABI, finding consumer distrust and relatively little knowledge of how their insurance policy is priced and what their insurers know about them

Key areas for discussion:

  • the regulatory landscape post Brexit and the future of Solvency II in the UK: 
    • the way in which insurance regulation will operate in the UK following the end of the Brexit transition period, with Government recently launching a review of Solvency II
    • simplification - how the rules can be adapted to meet the needs of the UK insurance market, for example in risk margin, criticised by some in the insurance industry and the PRA
    • reducing volatility - looking at insurance firm balance sheets, and increasing the choice and affordability of insurance products
    • long-term infrastructure projects - making it easier for insurers, with concerns from some in the industry that Solvency II makes this difficult and overburdens with reporting requirements
    • operating globally - how commercial insurers with a large international client base can retain their status post Brexit in the event of a large scale divergence from EU rules 
  • the FCAs proposals:
    • customer relationships - strategies for ensuring that consumers are fairly treated and building a culture of trust
    • impact on competition:
      • prospects for the proposals will make the market more competitive and lower prices in the long term as intended
      • possible risks of higher prices for newer customers and a reduced incentive for customers to switch, which could create barriers to providers entering the market and expanding
    • impact on other markets - the future of renewal pricing in other sectors being investigated by the FCA and Ofcom such as anti-virus software products, mobile and broadband contracts
  • climate change risks:
    • progress on adapting - how the insurance industry is responding to climate change and supporting customers in getting the insurance that fits their needs
    • flooding - the future role of Flood Re and options for measures such as subsidies for consumers at increased risk such as living on flood plains
    • costs and pricing - how the industry is dealing with the likely continued burgeoning of provisions in policies taking account of climate change risks
    • the role of the industry in climate change:
      • improving sustainability, and the profile and public perceptions of the sector in relation to the fight against climate change
      • ensuring Environmental, Social and Governance (ESG) criteria can be addressed by insurers within their own businesses and to encourage sustainable economic development
      • insurers as ethical investors whilst also securing the best returns on investment for shareholders, including pension investors
  • data and the use of AI: 
  • Government’s wide-ranging data strategy:
    • looking to unlock the value of data across the economy, secure a trusted data regime and ensure the security of data infrastructure
    • the impact on the insurance sector how it can potentially innovate and benefit
    • consumer data - ensuring the ethical use of personal data by the industry, improving customer confidence and the information provided to them, and tackling mistrust
    • machine learning and AI:
      • managing the future use of algorithms with concern that their use can result in unfair outcomes for customers 
      • how players in the sector are adapting and improving their use of data to take advantage of the new technologies and customer expectations
  • COVID-19:
    • the impact of the pandemic on the industry with initial estimates from the ABI suggesting that its members expect to pay out over £1.2bn in claims to affected businesses and individuals
    • issues related to specific classes of insurance products such as business interruption and trade credit insurance

The agenda:

  • The future of the UK insurance industry post Brexit and following the pandemic
  • Regulation and general insurance pricing practices - an outline of the FCA’s findings
  • The way forward following the FCAs proposals - ensuring that markets work well for consumers, and that the sector remains competitive and is prepared for the future challenges for the industry
  • Sustainability and climate change - resilience measures and investing in ESG assets
  • Data and ethics - improving consumer confidence and knowledge of the use of data
  • Adapting to the post Brexit regulatory landscape and supporting the industry and its customers post COVID-19
  • Next steps for policy affecting the insurance sector - the regulatory landscape post Brexit and the outcomes from the Solvency II review

Policy officials attending

Our forums are known for attracting strong interest from policymakers and stake holders.


Overall, we expect speakers and other participants to be a senior and informed group including Members of both Houses of Parliament, senior government and regulatory officials involved in this area of policy, as well as stakeholders from across the insurance sector, including financial service providers, claims, underwriting and compliance personnel, consumer groups, law firms, risk and business analysts, researchers from academia and higher education, as well as reporters from national and specialist media.


This is a full-scale conference taking place online***

  • full, four-hour programme including comfort breaks - you’ll also get a full recording to refer back to
  • information-rich discussion involving key policymakers and stakeholders
  • conference materials provided in advance, including speaker biographies
  • speakers presenting via webcam, accompanied by slides if they wish, using the Cisco WebEx professional online conference platform (easy for delegates - we’ll provide full details)
  • opportunities for live delegate questions and comments with all speakers
  • a recording of the addresses, all slides cleared by speakers, and further materials, is made available to all delegates afterwards as a permanent record of the proceedings
  • delegates are able to add their own written comments and articles following the conference, to be distributed to all attendees and more widely
  • networking too - there will be opportunities for delegates to e-meet and interact - we’ll tell you how!

Full information and guidance on how to take part will be sent to delegates before the conference



Keynote Speakers

James Dalton

Director of General Insurance Policy, ABI

Andrew Freeman

Senior Manager, General Insurance and Protection, FCA

John Scott

Head of Sustainability, Zurich

Chair

Lord Hunt of Wirrall

Speakers

Madeleine Matos

Consultant, Economic Insight

Professor Sean Ennis

Director, Centre for Competition Policy and Professor of Competition Policy, Norwich Business School, University of East Anglia

Jimmy Williams

CEO, Urban Jungle

Professor Paula Jarzabkowski

Professor of Strategic Management, University of London

Sonia Campbell

Partner, Mishcon de Reya

Mike Cherry

Chairman, Federation of Small Businesses

Anna Sweeney

Executive Director of Insurance, Prudential Regulation Authority

James Daley

Managing Director, Fairer Finance