Asian insurers have to invest in technology

Soo Bong Kim, head of the insurance division at the commission in charge of supervising the financial sector, has estimated that insurers are required to invest in technology with a view to facilitate communication with customers. The use of mobile telephony and internet provide huge potential for marketing and for direct services. Furthermore, it will help improve internal control procedure and long-term risk management. As regards Korea, in particular, continuous market investments have improved insurers’ performance as well as their profitability. A strengthened supervision remains nonetheless required according to Soo Bong Kim.