The Australian insurance industry will sail through a wind of change during 2021 and 2022, as changes to insurance laws recommended by the Hayne Royal Commission come into effect.
The general insurance industry has reported an ITR of 3% (six points lower than FY19) and a ROE of just 4% (almost 10 points lower than FY19 and the worst in almost two decades), according to an annual actuarial firm report released.
After a fairly optimistic economic outlook in 2019, this year's Federal Budget acknowledged the unprecedented effects of natural disasters and a global pandemic putting pressure on the economy. The Actuaries Institute member update provides an overall summary of the economy and highlights key issues of interest to members.
Following the Federal Budget announcement, Michael Blythe has a deeper look at Australia's economic outlook. He highlights that deficits and debt are large and persistent, this Budget should be seen for what it is - a creditable attempt to deal with the COVID-19 negatives and much will depend on whether the Budget can shift the dial back from saving to spending.
Posted 14 September 2020
Posted 25 October 2019
Posted 26 September 2019
Posted 12 August 2019
Posted 8 August 2019