Insurance 2024: The year ahead, according to Clyde & Co
Market predictions from Clyde & Co partners around the world include:
Greenwashing litigation to increase as mandatory reporting comes into effect
The number of greenwashing litigation cases will continue to increase as we go into 2024, with a wide variety of sectors being impacted.
Insurance to drive AI reforms with the risk of increased litigation
Risks to watch include discrimination bias and privacy concerns.
Claims costs continue to rise in 2024
As more injury claims fall under fixed recoverable costs rules, 2024 will see plaintiff solicitors seeking creative ways of maximising the value of claims.
Credit and political risks heightened by Israel-Hamas conflict
The conflict in Gaza looks set to continue, raising concerns that political tensions could spread further afield, increasing political and credit risks for businesses operating in the region.
Surging renewable energy projects will unleash insurance challenges
Increase in demand for insurance professionals to underwrite risks and manage the claims expected.
AI to influence hiring and firing decisions
The use of AI as part of HR processes will lead to more, harder to defend, liability claims if employees and candidates feel that they have been discriminated against.
Asian insurtech investment set to rebound in 2024
With the region currently poised as the fastest-growing global market for insurtech investment, the tech space remains key to the transformation of Asian insurance business.
AI-driven claims fraud detection will make major advances in 2024
A focus on so-called deepfakes and shallowfakes will be part of the overall push to tackle the claims fraud industry.
Collective redress to pick up pace in Europe
Now the EU directive on collective redress is in force, increased volumes of class actions are expected, notably for cyber liability and greenwashing cases.
Climate change litigation in Australia will continue to expand and diversify
In 2024, more stakeholders will seek to use the courts as a method to seek climate justice.
GCC regulatory regimes increasingly attractive to global investors
As African and Chinese companies increasingly look to the DIFC to establish insurance entities, the UAE is hoping it can shrug off its FATF grey list status to boost inward investment.
