If recent history has taught us anything, it’s to expect the unexpected. In the past few years, we’ve seen a range of developments – a global pandemic, economic pressures, talent shortages, supply chain issues, geopolitical tensions, regulatory updates, civil unrest, extreme weather, new technologies and more – trigger significant operational disruptions. Businesses can benefit from seizing opportunities like these to draw lessons from the unknown and build greater resilience for the future. Here, we’ll highlight three key areas we believe are critical investments to help organisations mitigate risk and navigate the unexpected.
Partnerships
In today’s complicated global economy, no single organisation can do it all on their own. Even the largest multinational firms face limits in expertise, reach and infrastructure. Amid a fast-moving and highly specialised business landscape, organisations are increasingly working with strategic partners to complement their internal capabilities, bridge gaps, increase stability and stay competitive. These partnerships allow companies to effectively address complex challenges, leverage external resources and better serve their customers.
Relationships are a true cornerstone of business in Asia. Companies here have high expectations for service and quality, and they seek out skilled partners they can trust to meet their standards for excellence when it matters most. While claim assignments in many regions tend to be governed by contracts and insurance panels, the Asia market places a premium on long-term, collaborative partners. Many here favour service providers who listen carefully and show a genuine commitment to local values and needs. Rather than transactional arrangements, they seek partnerships rooted in mutual respect and a deep understanding of the market.
On the flip side, partnerships can also come with some risks. Entrusting part of your business to another entity means giving up a certain amount of control, which can expose you to reputational or operational issues if values or standards don’t align. That’s why early discovery is essential. Understanding each other’s cultures, expectations and market dynamics helps build trust and avoid missteps. Ultimately, successful partnerships are those that are continuously nurtured through open communication, shared accountability and a willingness to adapt and grow together.
For those in the insurance industry, it’s especially important to forge and invest in strong vendor partnerships before disaster strikes. When typhoons, earthquakes, floods and other catastrophes arise, everyone is urgently scrambling for resources to aid affected policyholders.
The timing and severity of such events is generally unpredictable, wreaking further havoc on the insurance community. Those who put in the effort to build lasting relationships and establish clear emergency response plans in advance will be far better prepared than those who wait until crisis mode sets in to start looking for support.
Talent
Across business sectors, employers in Asia and around the world face mounting pressure to attract, develop and retain skilled talent amid a volatile labour market. The insurance industry is experiencing a significant talent shortage. Many seasoned adjusters are planning to retire soon, and not nearly enough young people consider insurance as a desirable career path. They tend to view our field as old-fashioned – not realising the fulfilling and limitless career possibilities it can offer.
Today’s workforce is largely driven by growth and purpose. Colleagues want to take on new challenges, contribute to something meaningful and advance their careers. When those aspirations aren’t met, they’re likely to seek opportunities elsewhere.
To ensure the sustainability of our industry and our collective capacity to support customers, we must do better at promoting the value of working in insurance, as well as change the misconception that insurance claims handling is merely about checking boxes. In truth, loss adjusting is at the heart of how we take care of people in their time of need. We often work alongside emergency first responders to kick-start post-disaster recovery. Claim outcomes have deep personal consequences, and no amount of automation or process can replace skilled expertise and human connection. The field of insurance is an ideal place for people to grow personally and professionally, while helping others in the moments that matter.
Attracting, developing and retaining talent today are essential for organisational success long into the future. For instance, many Hong Kong employers (ourselves included) are working with universities to establish internships that allow students to explore new fields and organisations to discover new talent pipelines.
At Sedgwick, we’ve brought the company’s award-winning Pathfinder development program – designed to help colleagues grow within the organisation – to our Asia team. From entry-level claims handling to leadership roles, Pathfinder supports career mobility across business functions and reinforces our commitment to colleague development and meaningful work opportunities. Such investments in talent build organisational resilience and support preparedness for tomorrow’s unknowns.
Technology
As enhancements to strategic partnerships and skilled talent, technological innovations have become indispensable in helping businesses prepare for the unexpected. Artificial intelligence (AI), data science and other advanced technologies are redefining what’s possible in insurance. With the latest technologies, we have endless opportunities to reimagine claims administration, elevate customer experiences and deliver outcomes that exceed expectations.
Automation and AI have already streamlined many aspects of claims handling, enabling insurers and service providers to respond faster and more efficiently. Innovations like chatbots, designed to assist with incident reporting during peak seasons, have simplified processes for insurers, policyholders and loss adjusters. Additionally, drones are frequently being used for remote inspections to provide a comprehensive view of losses and reduce delays caused by safety and physical access challenges.
Beyond enhancing efficiency, technology plays a vital role in risk mitigation and strategic planning. Through data analytics and machine learning, insurers and their policyholders can analyse vast amounts of claims data to identify patterns, track trends and anticipate potential risks. These insights not only support more effective claims management but also reduce risk exposure and future costs. The integration of construction technologies, such as building information modelling (BIM), has also accelerated project timelines in the recovery process.
While technology is a powerful enabler, it cannot replace the elements of empathy and expertise that define the insurance industry. Ideally, tech should amplify the human touch, not replace it. Empowering insurance professionals with intelligent tools will enable them to focus on delivering care, clarity and confidence to customers. To strike the right balance, technology is best used to handle repetitive tasks, while human resources work to provide personalised service, solve complex problems and nurture meaningful relationships.
Investing in the right combination of strategic partners, skilled talent and innovative tools today is a recipe for success to help organisations navigate the unexpected and prepare for whatever risks tomorrow may have in store. A
Mr Roger Lam is Sedgwick’s director, Hong Kong and Mr Eric Chiu is Sedgwick’s associate director of construction and engineering, Hong Kong.