What’s inside… FAnews Magazine June 2022

I came across this quote from Jack Vinson (*1966, American consultant knowledge management) that says, “If you aren’t sharing knowledge, you are no different from the guy who files false workers’ compensation insurance claims.” I quite enjoyed the relevance, but it was a good reminder of the important role we, as an industry publication, play in a time when staying up to date is not a luxury, but a necessity. I would like to make mention of the fact that our Continuous Professional Development (CPD) platform was a lifesaver for many at the end of the CPD cycle, and the positive feedback on the ease-of-use and the relevance of the content we share is overwhelming. We are incredibly proud of the service we offer, and of the quality of our publication, and we will continue to serve the insurance and financial services industry for many years to come.

On this note, I would like to take a moment to wish New National a happy birthday on their 50^th, and Bonitas on their 40^th! These are both incredible milestones and both are companies we are proud to be associated with. 

Over to the June edition… below is a summary of most of the articles we have in this edition (which is a print and digital publication). The CPD articles are marked for your ease, but don’t skip the rest of the content, as there are some fantastic articles in this edition. The links, on all the articles listed below, will take you directly to the FAnews June 2022 edition.

CPD Articles

IISA Approved Articles (Short-term)

• A state of malingering. Nowadays a significant number of claimants’ resort to malingering and dramatically overstating the nature of their injuries or loss in order to reap unjustified settlements from insurers. But why?
• Shipping industry leads to a wave of global inflation. In the last 18 months alone, the rate for a single shipping container has hit the roof, since the COVID-19 pandemic disrupted supply chains and trade channels.
• Tech and innovation do not equate to disruption. The term “disruption” has been frequently misapplied or understood.
• COVID-19, catastrophe and KZN riots. Pricing should be allowed to rise and fall according to the available capacity...
• The importance of risk transfer for all companies. Despite having the best risk management practices, there always remains risk in the system.
• Challenges facing risk managers of the future. What can pandemics teach us about risk management and planning for future disruptions?

FPI Approved Articles (Life, investments, EB etc) 

• Ethics before profits... easier said than done. Research found that 55% of global online shoppers in 60 nations are particularly passionate about companies that make a positive social and environmental impact.
• Prima facie evidence… enough to prove the FAIS Act was transgressed? For the first time, intermediaries have a platform on which to raise their concerns when they feel hard done by.
• Are advisers doing all they can for clients’ portfolios? Investors are becoming increasingly aware of the important role that financial planning plays.
• A dislike of the TINA mentality. For investors, the resurgence of inflation is a potential game changer.
• Financial advisers need help navigating the complex ESG fund environment as it is most certainly an evolving area…
• What investors can do to avoid the risk. It is not always easy to tell how concentrated a client’s portfolio is, and diversification is surely a way to mitigate concentration risk. 

Some more valuable content…

In the news

• A free smoothie does not make a loyal customer. Traditional loyalty programmes may show short-term support, but it’s actually about consistency and insight...

Profile

• The exciting world of aviation and specialist underwriting… let’s hear more about Azriel.
• Insuring informal homes… opening up a whole new world. Let’s hear from Sugar Insure.
• Hollard ChangeMaker… small acts can make a big difference.

Regular Features

• Professor Vivian & Co: Consequential loss policy court cases. BI policies are approached from different angles from different parties... let's get the other side of the story.

Education & Training

• Retaining and acquiring the best talent. New and emerging risks require a new set of skills and revised training and education programmes.

Short-term

• Are we, as an industry, serving customers' needs? Communication and transparency become critical factors in measuring quality customer service…
• The effect of false or incomplete information

Estate Planning

• Why estate planning is critical in times of unexpected events.
• Ensuring there is liquidity in the estate. The time it takes to wind up the estate of a deceased person has worsened in the last three years…

Life

• Everything you need to know about death, disability and severe illness cover post-emigration… a very relevant discussion with so many people leaving SA.
• Do rates differ between the vaccinated and the unvaccinated? This article is an extremely relevant one in a time where people are starting to wonder if the hype was necessary.

Crypto assets

• Introducing intermediaries to cryptocurrency aspects: opportunities, tax and regulatory developments… a recap of the FAnews Webinar.

Investments

• Themes that are going to make a really big difference. Thematic investing encourages investors to imagine what the world will look like in the not-too-distant future.
• Inflation-busting benefits of investing in property… the importance of locations cannot be underestimated.
• The art and science of portfolio construction. Assessing portfolio construction capabilities is a delicate balance of art and science.
• The great debate around fees. With so many pitfalls to navigate, it’s easy to understand why investors would question the fairness of being charged fees in the first place.
• Combating high and rising inflation. A diversified portfolio should not be constructed with only one outcome in mind.
• Cleaning up the data debate. If quality data is king, then poor data is the pauper... 

Editor’s thoughts:
This edition is packed with relevant and well researched articles. We pride ourselves in content that adds value to all the different parts of the industry… there is literally something for everyone. Thank you for continuing your CPD and industry reading journey with us. Enjoy the read and let me know where we can fill your knowledge gaps.