Vitality's group CRO Kirsty Leece reviews the key ERM developments of 2021 and her outlook for 2022
Tell me one thing you have learnt from the Covid-19 pandemic?
It would be that the health and wellbeing of people can reduce the risk factor of communicable and non-communicable diseases. It is important we improve the health of society to reduce those risk factors.
What was the most positive ERM development of 2021 for you?
It was the way people responded to the Covid crisis. As a society we managed to respond quickly, supported by technology, and continue to perform effectively. It was contingency plans working in practice.
What trends do you expect will have the biggest impact on the insurance industry in 2022?
Climate change, sustainability and ESG factors are all major issues on the agenda, as well as cyber risk. I would also say we are coming out of a pandemic, and the way the government has financed support during the pandemic will have an impact in 2022.
We will have to see how the economy responds, and what might happen with taxes and the inflationary environment.
What emerging risks are you most concerned about?
One emerging risk to watch is employee wellness. It is a business's duty of care to keep their staff healthy, but additionally having a healthy workforce drives better productivity which is beneficial for businesses too. Sustainability is also a key issue and a lot of work needs to be done across the industry on this.
If you could have one wish for 2022, what would it be?
It would be a stable economic recovery as we come out of the pandemic. I would like to see a clear economic pathway that can support society around healthcare and education, so we can get back to a solid base.