When the S&P Global Ratings executive asked the passenger leader how tariff uncertainty, inflation, geographical political risks affect the insurance company’s strategy, Alan Shanitzer did not give a response.
“Not really much more,” said Shantizer, chair and chief executive officer of the Traveler companies during the preliminary meeting of the S&P Global Ratings in early June.
The head of the US property/accidental insurance at S&P, Wilkinson, filed a session for the rating agency before interviewing Skanser as a watch list items for the rating agency and the managing director and the lead of the property/property department gave them the economic and geo -political. And when Schftzer later agreed that the overall economic result of social inflation and geographical political uncertainty were “challenges” of the moment, which offered strategies to tackle such threats, the CEO said, “You cannot give it a place of insurance, and you cannot do it.”
“You always have to think about long -term while running an insurance company,” said Schftzer. “To some extent, uncertainty remains in our consciousness,” he said, adding that passenger executives at all times, note the specific current risks highlighted by S&P analysts.
He remembered the scenario’s plan and was carried out by the Chief Financial Officer of the Insurance Company during the first two weeks of the crucified pandemic. “What can happen? What will be a really bad day for passengers?” During the phone conversation in 2020, the two men asked each other. “In fact, we put pressure on every aspect of our business and we can’t come with one.”
At that time, he said, many partition partners were in the “real liquidity crunch.”
He said, “Our business and our balance sheet and our Lakedity and our trust in our business model puts us in a position where we really can advance our business partners in more than $ 100 million commissions” in the early days of pandemic diseases, “he said.
Managing the dangers of each cat
Later, he described the long-range planning work that led the team to change its view of destructive underworld a decade ago-which helped passengers publish their best lower line in the United States in 2024, $ 5 billion in net income.
“Going close to a destructive administration with a team is no longer a way to run a railway,” he said. We have decided to create a separate team for every danger, “he said, adding that passengers have not only created separate hurricanes, winds and hail and forest fire teams, but also in the environment, the environment, the environment, the environment, the environment, the environment, the environment, the environment, the environment. It was.
There were two purposes of this strategy: “One, to create a well -known industry understanding of these dangers. What is the science behind these dangers? We are going to become the leader of the industry to understand it. And two, we are going to become the leader of the industry in writing this scientific background and knowledge.”
Schftzer reports that before developing his strategy, passengers’ dangers due to the dangers of cats were in accordance with its market share. “And honestly, you hope that. After the hurricane walks you cross your fingers and you just think, I hope I won’t be more and more.”
“Ever since we have done this in this decade, we have meaningfully improved our market share, and it was not from shrinking,” said Shanitzar. “We have continued to increase the book.”
In addition to understanding science and applying the right to the climate dangers, the CEO said that passengers invested in their cat’s claim strategies. Schftzer said it was “very fruitful.”
“If you are affected by a hurricane at the end of the summer or early in the fall, whether you are celebrating Thanksgiving and Christmas in the hotel’s ball room compared to your own residential room,” he said.
“Claims are not well -known,” he added, emphasizing the importance of investment in the area. “As fast we can understand these claims, as fast we can get the right price on it, the more we can solve it for our user, and it is better for a shareholder.”
Beyond the climate change
Shinzer also took the opportunity to make a “editorial” about the fact that climate change “in reality is a relatively relatively small assistant in increasing destructive losses.”
“I am a believer of climate change. My children and my grandchildren, I feel very important about it. And so no one should be heard saying anything else.”
Nevertheless, he said the passenger data and independent data showed that the actual driver of the destructive damage activity is the increase in population and economic inflation, as well as factors such as building codes and aging infrastructure.
“I’m not trying to remove one’s attention from the climate change movement … but when you are committing a problem, you really need to be based on evidence about this problem. You really need to take all the things that are contributing to the losses, you need to do this, and you need to do it. Need.
Future of Insurance: Scale vs.
In addition to describing long -range strategies and investments of passengers dedicated to CAT management, Shinzer talked about spending $ 1.5 billion per year on technology and AI measures, and long -term strategies to tackle social inflation. Finally, he said the career would need a scale to afford to compete in the future.
“Twenty years ago, to run the insurance company you needed an Androt, an activist, a financial person, and I would throw a lawyer because I was one. But today, to run the insurance company, you need robotics, you need data scientists, you need climate experts…”
Allen Schintzer, Traveler
Specifically, Wilkinson told Shintzer to make a bold prediction about the future of insurance in three to five years.
“The scale is of great importance in the insurance industry…. For decades, you can be small and niche and succeed (but) it will be difficult and difficult.”
He added: “I don’t think passengers are in position individually, but I (also don’t think that many companies that are spending a lot of money in very effective ways and are developing technology that will be fruitful by running this business – which has the potential to promote this technology and artificial intelligence.
“All this affects the availability of insurance costs. So, I think it will be difficult and difficult to be ‘on a scale’. Over time, I think only a gravity bridge – the stability of the premium by these companies that are not ‘scale’, two things, two things, two things, and two things.
At the beginning of the session, Schftzer predicted that the effects of AI on the insurance industry were “deepening”, and that half of the claims of passenger claims between the examples of advanced technology in AI and passengers were directly processing, as well as the direct path processing.
According to the CEO, on the side, passengers have also seen the benefits of performance in special insurance businesses like management launch. In this line, he said, the submission information comes in an unchanged manner.
“Now we have taken the AI on it, and now we do all this in two minutes,” he said, highlighting the time savings in thousands of requests every month. He added, “Our agent and broker partners tell us that in high percentage cases, the first quote gets to the business,” he added, adding that AI’s aid “puts passengers in a position to work more effectively and win mostly.”
