The insurance industry is no stranger to change. Shifting consumer expectations and the pressing impacts of climate change require insurers to redefine their approach to risk assessment, policy management, and customer service. The collection of interviews featured in this report provides valuable perspectives on how technology serves as a catalyst for innovation, enabling insurers to address these challenges head-on.

When disasters strike, insurance companies understand that nothing is more important to their customers than recovering swiftly from damages. By harnessing the power of location intelligence, insurers can optimise resources, expedite payments, and reduce operating costs. Through spatial analysis and advanced technologies such as IoT, AI, and remote sensing, insurers can proactively understand hyperlocal risks and relative exposure to events before they arise, enabling them to make informed policy decisions at the household level and integrate risk scoring into underwriting workflows.

Understanding climate change is crucial and has evolved over the years, presenting insurance companies with an expanding risk landscape that threatens profitability and solvency.

Esri UK has collaborated closely with insurers to visualise and analyse the long-term impacts of global climate-related disasters.

Our technology integrates climate science-based risk assessments with demographic and business data. Innovative firms are rising to the challenge by leveraging location intelligence to contextualise and manage accumulated risks. By utilising GIS technology, insurers can confidently interpret diverse climate data, evaluate risk, implement resilience strategies, and make informed decisions when underwriting insurance policies and managing claims processes. This proactive approach ensures that decision-makers and policyholders are well-informed, mitigating the potential impact of climate risks.

The insights uncovered through this thought leadership report have been both enlightening and reassuring. It is clear that changing consumer expectations are driving the need for digital transformation. Technology has enabled insurers to break down IT silos, automate processes including those with IoT sensors and AI, and introduce satellite remote sensing and aerial imagery for efficient claims assessment. Another significant driver for innovation is the establishment of ESG goals and the drive towards achieving Net Zero. It is encouraging to witness a growing recognition of the role that data and technology play in attaining these objectives. This resonates not only within the insurance industry but also among our diverse customer base across various sectors.

We would like to express our gratitude to all participants for their valuable contributions to this report. Their expertise and insights have been instrumental in shaping its content.

If you're considering leveraging location data but are unsure where to begin, we advise starting with a clear understanding of your objectives and their prioritisation. Focus on areas where you can achieve quick wins and deliver exceptional value to your customers, demonstrating success that builds confidence, and gradually expand to address other key objectives.