WHITEHOUSE STATION, N.J.,
Jan. 11, 2022 /PRNewswire/ -- A
recent survey of TechAssure's insurance agent and broker members
underscores how the COVID-19 pandemic has shaped their technology
and life sciences clients' approach to key business challenges and
risks.
"Technology and life sciences companies are pioneers in
innovations, and have helped the world adapt since the onset of the
pandemic," said Veronica Somarriba,
EVP, Technology Segment, North American Commercial Insurance,
Chubb. "In doing so, many of these companies have seamlessly
changed the way they operate, potentially creating unintentional
new risks and exposures in the process. As these companies continue
to evolve, it's critical that they have a good understanding of any
new exposures and ways to properly manage them."
"Our members are dedicated to helping technology and life
sciences clients balance property and casualty insurance risk with
business reward," says Christine
Kallivokas, Executive Director of TechAssure. "Their deep
expertise in these industries enables them to effectively build
robust risk mitigation programs to ensure that sufficient insurance
coverages and limits are in place so clients can focus on being
innovative and productive."
When COVID-19 emerged, technology and life sciences companies
had to navigate unprecedented change and disruption, shifting daily
operations to meet new needs. According to the survey, 39% of
insurance agents and brokers say their clients have increased
supply chain diversity as a result of COVID-19, with 48% reporting
that their clients plan to increase the diversity of their supply
chains, but haven't yet.
Supply chain disruption is only one of the business concerns on
technology and life sciences companies' radars. The insurance
agents and brokers surveyed report that their clients are "very" or
"somewhat" concerned about a variety of business challenges,
including but not limited to:
- Supply chain shortages: 93%
- Emerging regulations impacting their industry and associated
compliance requirements: 86% (up from 83% in 2019)
- Privacy and data protection: 86% (up from 83% in 2019)
- An increasingly litigious environment: 81% (up from 67% in
2019)
The survey data reveals that for some technology and life
sciences companies, COVID-19 served as a catalyst for positive
developments as well, leading to new products and services and
business growth. More than half of respondents (58%) say COVID-19
led their clients to innovate new products/services they didn't
previously offer. Furthermore, nearly a third (31%) of respondents
say the pandemic created new opportunities for their clients to do
business in domestic (U.S.) markets, and over a quarter (28%) say
the same for international markets. Beyond geographic expansion,
some technology and life sciences companies are considering
business growth via merger and acquisition (M&A) activity: 40%
of respondents say that their clients are considering an
acquisition over the next year (up from 30% in 2019).
The survey highlights that as their operations and exposures
change, it's essential for technology and life sciences companies
to work with their insurance agent or broker to update their risk
management and insurance coverages and limits as needed. According
to the data, 45% of respondents say their clients already have
adjusted insurance policies and coverages to respond to business
challenges (up from 25% in 2019), while 48% say they are in
conversation with their clients about how to adjust insurance
policies and coverages (down from 51% in 2019).
To learn more – including forthcoming snapshots of data around
how COVID-19, business challenges, and M&A activity impact risk
for technology and life sciences companies – visit
https://www.chubb.com/us-en/business-insurance/technology.html.
About TechAssure
Established in 2000,
TechAssure is an international not-for-profit association dedicated
to advancing corporate insurance and risk management practices for
companies with technology-related risks. The association is
comprised of independent regional insurance brokers located across
the United States, Canada, Europe, South
America, Australia and
India. For additional information
on TechAssure, please visit www.techassure.org.
About Chubb
Chubb is the world's largest publicly
traded property and casualty insurance company. With operations in
54 countries and territories, Chubb provides commercial and
personal property and casualty insurance, personal accident and
supplemental health insurance, reinsurance and life insurance to a
diverse group of clients. As an underwriting company, we assess,
assume and manage risk with insight and discipline. We service and
pay our claims fairly and promptly. The company is also defined by
its extensive product and service offerings, broad distribution
capabilities, exceptional financial strength and local operations
globally. Parent company Chubb Limited is listed on the New York
Stock Exchange (NYSE: CB) and is a component of the S&P 500
index. Chubb maintains executive offices in Zurich, New
York, London, Paris and other locations, and employs
approximately 31,000 people worldwide. Additional information can
be found at: chubb.com.
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SOURCE Chubb