InsurTech4Good Weekly Newsletter – # 3, 2025

Introduction

Dear Readers,

Good morning! Here is a summary of the most important InsurTech regulatory and policy news that caught my attention last week.

To ensure you never miss an issue of this curated weekly overview, please subscribe here. I would also appreciate it if you shared it with your colleagues who might find it useful.

Wishing you a productive week!

If there's anything I can help with or if you have any suggestions on how to improve this newsletter, please let me know.

Best,

Andres

News and reports

Global Open Finance Adoption Report 2024-2030

The global financial landscape is undergoing a transformative shift, driven by the rapid adoption of Open Finance.

This evolution is reshaping how financial services are delivered and redefining the way consumers, businesses, and economies interact with financial data and technology.

At the heart of this transformation is the promise of Open Finance—a vision where personal financial data moves with the user, securely and seamlessly, with explicit consumer consent.

It’s about enabling inclusion, fostering innovation, and empowering users on an unprecedented scale.

Open Finance is not merely a compliance exercise; it is an enabling framework. It is not just about technology; it is a movement rooted in trust, shared infrastructure, and a commitment to opportunities for all.

By exploring key markets like India, Brazil, the US, and the UK, along with emerging Open Finance ecosystems in the UAE, Saudi Arabia, and Bahrain, this report provides a globally-informed perspective.

The goal is to equip policymakers, regulators, and business leaders with actionable insights to harness Open Finance for economic growth and innovation.

Read more here.

P.S. I have monitored and mapped Open Finance and Open Insurance initiatives for years and have been hands-on involved in EU Open Insurance policy and regulatory developments. If you need help navigating this landscape, feel free to reach out and I´m happy to help!

Responsible financial innovation

If you have followed me here for a while, you know that financial inclusion is very close to my heart, especially its interlinkage with innovation and new technologies and how these can overcome some of the challenges we face globally.

I want to share that the world’s leading organization on financial inclusion policy and regulation, the Alliance for Financial Inclusion (AFI), has released the San Salvador Consensus on Responsible Financial Innovation (the paper was published in September last year).

The San Salvador Consensus on Responsible Financial Innovation aims to unite AFI members in developing policies and initiatives that foster inclusive and responsible financial innovations to drive positive social and economic outcomes.

Launched at the 2024 Global Policy Forum in El Salvador, the consensus supports AFI members in prioritizing consumer protection, strengthening risk management, and enhancing financial capability while promoting innovative digital finance infrastructure and solutions.

I think it might be useful beyond AFI members.

Read more here. 

15 innovation-related findings from EIOPA Consumer Trends Report 2024

1. The ongoing digitalisation of insurance and pension services streamlines processes, enhances consumer awareness, and facilitates greater product uptake and smoother interaction between consumers and providers.

2. Digitalisation can facilitate access to and comparison of information on product availability, costs, performance, benefits, and terms and conditions.

3. It can contribute to raising awareness around pension planning and the availability of insurance as a risk-management tool.

4. Digital integration can improve value for money (VfM) by streamlining claims management and enhancing consumer service processes.

5. Not all consumers benefit equally from digitalisation, with the risk of exclusion particularly relevant for older or lower-income consumers or those lacking digital literacy.

6. 43% of EU consumers report a preference for receiving information in person rather than online.

7. Related risks include inadequate support and misinformation, where overly standardised processes, insufficient online disclosure, and reduced or absent interaction with insurance intermediaries may lead to poorer quality consumer support or less suitable products.

8. The influence of social media or 'finfluencers' can also contribute to the provision of less adequate products.

9. Artificial Intelligence (AI) is expected to have a positive transformative effect on insurance, particularly in non-life lines of business, while raising concerns requiring supervisory attention.

10. Increased usage of AI-based tools has been observed primarily in Motor Third Party Liability (MTPL), other motor, household, and health insurance lines.

11. Around half of EU consumers and reporting NCAs indicate that the use of automated tools makes claims processes faster and easier to navigate.

12. AI-based tools used in pricing can reduce costs and improve insurability through more accurate segmentation and price optimisation.

13. Qualitative information from NCAs highlights instances of poor AI decision-making, inadequate support, and limited consideration of consumers' specific circumstances.

14. AI may lead to excessive standardisation of pricing, underwriting, and settlement processes, neglecting non-standard situations and causing unintentional errors.

15. Data privacy, security, and ethical use of AI must be ensured to mitigate risks.

Read more here.

Global Risks Report 2025

The 20th edition of the World Economic Forum's Global Risks Report 2025 highlights a fractured global landscape where escalating geopolitical, environmental, societal, and technological challenges threaten stability and progress.

This year's report analyzes global risks through three timeframes, offering critical insights to help decision-makers balance immediate crises with longer-term priorities.

For risk managers and insurers, this report is essential reading. The insurance industry plays a dual role in navigating these risks.

On one hand, these challenges present opportunities to innovate and help societies better cope with emerging risks.

On the other, insurers face significant operational impacts, requiring adaptability and resilience to sustain their businesses amidst evolving uncertainties.

Understanding and preparing for these dynamics is vital.

Read more here. 

No more human customers: How AI could transform insurance by 2030

Imagine a world where you no longer need to fill out endless insurance forms or spend hours comparing policies. Instead, your personal AI assistant handles everything seamlessly and efficiently.

This report outlines the vision of a future where smart personal AI assistants manage risk and coverage effortlessly, pushing traditional providers to innovate swiftly—or risk becoming obsolete.

It’s definitely thought-provoking and futuristic. Personally, I enjoy these kinds of readings and recommend them to insurers and regulators in my network.

Read more here.

Deloitte Financial Markets Regulatory Outlook 2025

This report explores how major regulatory trends will impact the financial services industry across the UK and EU in the year ahead and how leaders can respond effectively.

The 2025 edition highlights key regulatory and supervisory themes, both industry-wide and by sub-sector.

For my network, the most relevant sections focus on life and general insurance, as well as data and AI.

Read more here.

Agentic AI in insurance and finance

Agentic AI is largely still in the experimental phase.

This report highlights some of the key use cases of agentic AI in financial services, including insurance.

Read more here.

Digital Operational Resilience (DORA) updates

The Digital Operational Resilience Act (DORA) is an EU regulation that entered into force on 16 January 2023 and officially applies from 17 January 2025.

Its primary goal is to strengthen the IT security of financial entities, including banks, insurance companies, and investment firms, ensuring that Europe’s financial sector remains resilient in the face of severe operational disruptions.

DORA introduces harmonized rules for operational resilience, covering 20 different types of financial entities as well as ICT third-party service providers.

Work on DORA continues. Most recently the three European Supervisory Authorities (EBA, EIOPA, and ESMA) have published a report on the feasibility of further centralizing the reporting of major ICT-related incidents by financial entities, as stipulated in the DORA.

In accordance with the DORA mandate, the joint report examines the potential for increased centralization in how financial entities report major ICT-related incidents to competent authorities.

The report evaluates the feasibility of three models: the baseline model, a model featuring enhanced data-sharing arrangements, and a fully centralized model.

It also analyzes the potential burden and cost reductions, as well as the efficiency and effectiveness improvements, that each model could provide for cross-sector supervisory practices.

Read more here.

InsurTech events and public consultations

Want to reach 3,500+ industry experts and decision-makers?

If you are a policymaker or supervisor, feel free to contact me by replying to this e-mail to add your event to this section free of charge.

For other interested parties who wish to feature their events such as webinars and conferences here, please request a price quote by replying to this e-mail.

Note that I reserve the right to select only events that provide value to readers and align with my values.

IAIS Public consultation on draft Application Paper on the supervision of artificial intelligence

The IAIS is consulting on its draft Application Paper on the supervision of artificial intelligence. Comments due by Monday, 17 February 2025 24:00 CET.

Read more here.

Thank you!

Thanks for reading! If you need help with regulatory strategy, InsurTech research, thought leadership, or policy advisory, feel free to reach out on LinkedIn or via email.