NMG Consulting

Hard markets are generally a boon for reinsurance brokers and an opportunity to operate at the peak of their powers. Hard cycles are however not without their challenges. Partnerships and placement capabilities are put to the test, and brokers can find themselves drawing fire for matters beyond their reasonable control. So how have reinsurance brokers in #Asia performed a year on from the hard-market reset? ▪️ The good news is that insurers have awarded higher ratings to reinsurance brokers overall, particularly to the largest franchises ▪️ Ratings have however fallen for ‘partnership approach’ and ‘business ease and timeliness’, both centrepieces of the client experience ▪️ In terms of propositions, brokers have seen distinctly higher ratings for 'data analytics & models', indicative that capabilities are lifting in line with expectations Broking appointments are typically under heightened scrutiny in the years following cycle peaks. As client experience is a key source of competitive differentiation, reinsurance brokers need to reinforce/lift heading into 2025. #reinsurance #broking #clientexperience #SIRC24

Counting down to the 20th Singapore International Reinsurance Conference! This year we are very excited to be centre stage at #SIRC2024, with our very own Jane Cheng kicking off the conversation with Swiss Re's Group CEO, Andreas Berger. Come find us at Table #N18 in the Bayview Foyer (Lloyd's Coffee House) from 4-7 November. Please reach out in advance if you'd like to schedule a time with our team, as well as see some of the emerging findings from our 2024 P&C Re Study. Looking forward to seeing you all there! Mark Prichard Stephen Collins Jane Cheng Rob Malattia Desiree Lim Read more: https://lnkd.in/daHu8ZFB #SIRC2024 #reinsurance #shapeyourthinking Swiss Re Asia Insurance Review Singapore Reinsurers' Association

A really fun and active outing for our Sydney team in completing the J.P. Morgan Corporate Challenge 2024. We managed an excellent turnout, with a half of the team participating in the 5.6km run at the beautiful Centennial Park! #together #collaboration #go4it! Congrats to all those with PBs, and well done to Tim Kastengren for taking out NMG honours (Men) (after the shattered dreams of 2023 😀) and Annette C. (Women). Thanks to J.P. Morgan for hosting the event again this year in Sydney, and giving us an opportunity to test out our latest NMG merch. #shapeyourthinking

Last week, we were delighted to kick-off our annual Strategy event in Melbourne, bringing together 50 senior executives across 30+ institutions. Discussion centred on the 'Growth Challenge', felt broadly across the wealth value chain, from platforms through to super funds and the asset managers who supply them. Life insurers also have their share of growth challenges. The decline in member-driven asset switching within the super system is one pertinent example, which has steadily declined as a percentage of assets. While contestable opportunities for funds have remain flat in dollar terms, average balances have doubled over the same period, meaning the number of switching events has fallen materially. What can market participants do to continue to build value in the face of declining contestabilty? Join us at our Sydney event on Thursday to hear how our presenters and panelists explore a range of potential responses. Andrew Cummins Lachlan Reardon Louise Elliott, Mark Watmore Natasha Legge  

Understanding contestability is important for strategy in that it highlights critical factors, such as: ▪ How much of reported new business/flows is truly ‘new’? ▪ Which segments are more-easily addressable? ▪ The areas of opportunity from turnover in portfolios and customers ▪ Trends and dynamics in usage preferences ▪ Elements that are influenced by forces beyond direct competition The upshot is that contestability is seldom static, instead evolving as markets and buyer/placement behaviours shift. Supply-side factors, such as scale and chosen business models, also play a key role in determining the economic attractiveness of capturing market share. Which is our way of saying😄that we are enthusiastically anticipating our annual Strategy Events in Melbourne (Tuesday, 15 October) and Sydney (Thursday, 24 October) in which we'll examine the notion of #contestability and its strategic implications across the asset/wealth management and insurance industries. We look forward to seeing you there, and please reach out if you'd like to join us! #growth #strategy #gettingtogether Andrew Cummins Mark Watmore Lachlan Reardon Louise Elliott, Natasha Legge

In Canada, the individual life insurance marketplace is predominantly intermediated, with independent advisors guiding clients through the complex landscape of insurance choices and providers. These advisors play a pivotal role in shaping and fulfilling demand. The competitive landscape of life insurers is diverse, from scale generalists to more niche competitors with specialisations along product and distribution lines. In our latest video, we highlight select findings from our 2024 Study of the Canadian Individual Life Insurance Market, which includes feedback from over 500 independent life insurance advisors. 🎥 Watch now to discover insights into the leading competitors and how adviser expectations are evolving. For more information about our #CanadianStudy or our just-released #USIndividualLifeInsuranceStudy, feel free to reach out to Karan Sabharwal or Karen Lau.  #LifeInsurance #FinancialAdvisors #AdvisorInsights Canada Life, Desjardins, Empire Life, Equitable, iA Financial Group (Industrial Alliance), RBC Insurance, Sun Life

This month marks a special milestone — 25 years since NMG Consulting ventured into the UK with the acquisition of the Thompson Barrett Organisation (TBOi). TBOi was a dynamic organisation that matched our energy and ambition, helping us form a successful partnership across multiple regions, with a focus on the retail distribution of financial services. The original team that laid the groundwork for our success in London included: David Burns (now retired) Jonathan Gunby (currently the CEO of Transact) Jane Craig (still a vital part of the NMG team!) As part of this milestone, we are also thrilled to celebrate Jane Craig’s 25th anniversary with NMG. Jane has been a cornerstone in shaping our Strategic Insights practice, expertly blending qualitative and quantitative research. Her impactful work continues to resonate across the UK and Europe, and she remains an inspiring example of career success at NMG. As we look back on this journey, we extend our heartfelt gratitude to our UK clients, whose trust and partnership have been instrumental in our success. Here's to many more years of collaboration! 

Excited to report #DoubleDigitGrowth in advised new sales of Life Insurance in Australia: - New premiums are up 10.1% (Q2 24 vs Q2 23) - Growth in sales of Income Protection continues to lead the way (15.7% vs Q2 23, 7.1% for Lump Sum) - Most recently however growth in Lump Sum products outpaced that of IP (+3.2%, Q2 24 vs Q1 24) suggesting that IP sales growth has normalised post IDII implementation - More advisers have broken into the top-productivity tier (>A$100k new production in the past 12 months) - Notwithstanding these new arrivals, the productivity of top-tier advisers also lifted 6.9% - Insurers with relatively smaller in-force portfolios - and lower channel tenure - enjoyed higher growth - Lapse rates remain at the high end of the range, but appear to have peaked (possibly, hopefully) #riskdistributionmonitor #advice #lifeinsurance

The #VoluntaryBenefits (VB) insurance segment in the US is large, growing and profitable. As a channel, it also offers leading access to the hard-to-address 'middle market', and thus positively impacts insurance penetration overall. The competitive landscape for VB insurance has many unique features as well as a complex value chain, making it a domain for genuine specialists. That said, VB carriers face many similar challenges to their compulsory group insurance counterparts, from product bundling and broker engagement all the way to digital enablement. For more on the challenges and priorities of US Group Life & LTD insurers: https://lnkd.in/gEnHDkUZ. If you'd like to learn more about how VB competitors are equipping themselves for success now - and in future - then please be in touch. Nick Rockwell Danielle Lehman Ginger Bates Oliver Hesketh, Karan Sabharwal Joshua Dietch Ralph O'Brien Janet Harris Evan Baars

Margins in group insurance are typically narrow, requiring Life & LTD insurers to balance effective intermediary engagement with strong risk management - all the while pursuing steady productivity/efficiency gains. The good news is that US insurers are currently reporting attractive returns on capital (ROC) across group life and disability portfolios, finally moving past the challenges of the Covid-19 pandemic, which included higher claims and historically low bond yields. Large insurers, benefiting from scale, have seen the most significant improvement in ROCs since 2022, with 93% of decision-makers now indicating that returns are on or above target. While group insurance executives remain #optimistic about the outlook for the segment, they also recognize that the cyclical profile of returns requires an ongoing focus on efficiency initiatives, especially #automation, #predictive analytics and the integration of #AI. Indeed, what is considered best practice cost levels in 2024 may well become 'table stakes' just a few years from now. #insurance #group #2024Study