HONG KONG: Hong Kong’s position as a global financial hub is at risk unless it invests in developing its talent pool within the insurance industry, executives warned at the Insurtech Insights Asia conference on Wednesday (Dec 4).
With financial centres like Singapore and Dubai growing rapidly, Hong Kong must nurture its workforce to stay competitive, especially as businesses increasingly move towards digitalization.
In the latest report of Yahoo Finance, Edward Moncreiffe, CEO of Global Insurance at HSBC, emphasized that Hong Kong must focus on enhancing its physical and digital infrastructure, regulatory frameworks, and language skills to remain a key player in the global market.
“This will ensure that businesses can come to Hong Kong and operate with minimal friction,” Moncreiffe said. “In a world where everything is digitized, geography matters less than ever.”
A key aspect of this strategy, Moncreiffe explained, is improving language capabilities. While mainland Chinese customers represent a significant portion of HSBC’s business, the bank is also serving clients from dozens of other countries.
“English plays a crucial role in facilitating international business,” he noted.
The two-day conference, which drew top insurance executives from across the region, also highlighted the resurgence of Hong Kong’s life insurance sector.
Since the lifting of anti-pandemic measures, the city has seen a strong recovery, with sales of new life insurance policies rising 12.5% in the first half of 2024 to HK$115.9 billion (US$14.9 billion) — the highest level since 2016.
Despite the industry’s positive performance, there are challenges ahead. Lawrence Lam, CEO of Prudential Hong Kong, noted the growing need for data analysts within the insurance sector.
“The ability to analyze data and model trends is more important than ever,” Lam said, stressing the need for either hiring new talent or upskilling existing employees.
Lam added that Hong Kong must work to attract talent not only from mainland China but from around the world to build a competitive workforce.
“This talent pool must be developed and refined to meet the industry’s evolving demands,” Lam said.
M.M. Lee, Executive Director at the Insurance Authority, further underscored Hong Kong’s role as a vital bridge between mainland China and the rest of the world.
“Hong Kong is the superconnector between China and international markets,” Lee said. While the local insurance industry is focused on mainland needs, there is significant potential for Hong Kong to cement its position as a global insurance hub.
As competition intensifies in the global insurance industry, the development of a strong, diverse talent pool in Hong Kong will be crucial to its continued success.