26th October, 2023
Optima FY23: FY23 ROE bounced back into target range territory and more of the same forecast for FY24
Finity's annual state of the industry report, OptimaLite, has highlighted that largely driven by...
OptimaLite summarises the General Insurance Industry's performance, forecasts and trends
Each year our team, comprised of Australia’s leading actuaries, statisticians and management consultants, comes together to deliver the insurance industry’s pre-eminent state of the market report, Optima – available exclusively to Finity clients. OptimaLite summarises the key findings from Optima – providing an overview of insurance market trends and our in-house view of financial forecasts for FY24.
FY23 HIGHLIGHT14%Return on equity was 12 points higher than FY22, ending three consecutive years of low single digit returns.
FY23 HIGHLIGHT12.5%Gross earned premium was the strongest in the past decade, continuing the strong growth from last year.
FY23 HIGHLIGHT68%The industry's net loss ratio was 2 points worse relative to FY22.
Optima feature: Tech transformation and the path to AI and analytics
Tech transformations, data warehousing, integration, analytics, and AI have replaced 'performance' as the buzzwords in today's tech landscape. In this feature article we discuss why it's crucial to understand and embrace these trends to stay competitive and relevant in the insurance industry.
“The strong industry reported profitability is a remarkable result given ongoing challenges, on multiple fronts, in the operating environment.”
- Optima lead author and Finity Principal, Andy Cohen.
Optima feature: Australia’s economic outlook
Post-pandemic, Australia faces a high likelihood of an economic slowdown with a materially lower (but not trivial) chance of a recession. In this feature article our new team of economists joins forces with our insurance industry experts to discuss Australia’s economic outlook, the impact on the General Insurance industry and how insurers might prepare and respond.
A year of recognition for Finity
As Australiasia’s largest General Insurance actuarial provider we have deep industry experience – second to none. 2023 has been a particularly rewarding year with Finity and our team receiving a range of prestigious accolades:
ANZIIF 2023 Professional Services Firm of the Year
Calise Liu, Senior Consultant, ANZIIF 2023 Young Insurance Professional of the Year
Optima feature: Higher inflation, higher interest rates – good or bad?
Over the last two years, there has been considerable volatility in the economic environment as Australia entered and then emerged from the COVID-19 pandemic. In the face of quick and material increases to both inflation rates and interest rates, this feature article explores the impact these changes have had on the insurance industry’s profitability.
Related articles and content
20th September, 2023
Finity’s top two climate actuaries named Actuary of the Year
Finity is proud to announce that its leaders in the climate and sustainability space, Sharanjit Padd...
29th August, 2023
Calise Liu named Young Insurance Professional of the Year at the ANZIIF Awards
Finity is pleased to announce Calise Liu was named Young Insurance Professional of the Year at the A...
28th August, 2023
Finity receives the 2023 ANZIIF Professional Services Firm of the Year
At the 19th edition of the ANZIIF Australian Insurance Industry Awards, Finity was honoured to recei...
About Optima
Finity is proud to release our 17th edition of Optima, our flagship state of the insurance industry report. Our work with over 400 clients, our deep industry expertise and months of research by our team of leading insurance specialists culminates each year in this in-depth report.
Our lead authors
Download OptimaLite 2023
Understand key insurance market trends and our in-depth financial forecasts for the future.
Download OptimaLite 2023In the spirit of reconciliation Finity acknowledges the Traditional Custodians of country throughout Australia and their connections to land, sea and community.
We pay our respect to their elders past and present and extend that respect to all Aboriginal and Torres Strait Islander peoples today.