The distribution of power and profits is changing. How can insurers succeed in a more fractured
industry landscape?

Humans have always dealt with risks arising from the natural world and their own behavior. But we
appear to have entered a particularly intense period of turbulence (see Figure 1). Climate change,
disease, aging populations, and technological disruptions are combining to radically change the risk
landscape—both through more risks and different types of risk.
The changes thrust insurance companies into new roles. They have the chance, perhaps even the
duty, to take a firmer hand in moving beyond reimbursement for damage and controlling losses to
incentivizing behaviors in ways that will reduce risks.