The Role of Digital Technology in the Re/insurance Industry

Insurance is essential when addressing some of society’s important and pressing issues, such as those that cover their assets, home and life. Reinsurance companies, on the other hand, help insurers maintain their company’s financial stability by limiting their losses. As we emerge into the world of digitalisation, it has transformed the re/insurance industry to another level. Digital technology has helped make the industry more efficient, appealing, and understood. It has also contributed to boosting the performance of marketing, product development, sales, claims management, and more. Read further about how digital technology has helped shape the re/insurance industry.

Save cost with digital technology

Ever wonder how technology helps in reducing costs? It benefits by lowering distribution and administration costs. Companies have many concerns regarding operational costs to necessitate a significant amount of working capital to maintain their operations. Digital technology helps reduce costs by substituting humans with technology-enabled processes and devices such as cloud computing, AI (Artificial Intelligence) and big data. These technologies and processes enable insurance companies to guarantee the accuracy of their data and monitor real-time regulatory compliance.

Instead of hiring a large team of staff to physically work and move files and folders to different locations – storing, retrieving and processing documents or data electronically using PC networks and minimal human interaction are less expensive and more reliable. Moreover, new product information can be partly or wholly automatically sent to customers via apps.

Technology makes things more appealing

From marketing to claims management, things are more appealing with the help of digital technology. In marketing, it is apparent in developing strategies to distribute insurance. Video platforms are used to explain products to customers, spread more company information, and give asset management topic descriptions. Using marketing technologies helps attract younger generation customers as we’re all evolving in the new world of technology.

Another matter that makes the insurance industry more appealing with the help of technology can be observed in product sales. Sales can be managed by using a chat box. This is where the role of AI takes place, giving the customers the same experience of communicating with a real-life person.

As the world evolves, technology has found its significant role in many industries, insurance being one of them. Reinsurers such as Malaysian Re play a key role in shaping the industry as they help to stabilize insurers should there be any loss experience by distributing specific risks. Additionally, MNRB as the parent company of Malaysian Re boasts an extensive business portfolio across Asia and the Middle East, which guarantees sound financial and management position. Visit the MNRB website to learn more about other MNRB businesses related reinsurance, retakaful, retail takaful and more.

Malaysia’s Retakaful Market Development Amidst and After the Pandemic

Retakaful is an efficient tool to diversify the risk portfolio of businesses over various territories and diminishes the probability of the industry’s risk of destruction during large catastrophic losses. The COVID-19 pandemic in 2020 has greatly impacted every industry and business, and the retakaful market in Malaysia is not spared either. Read about the development of the retakaful market amidst the pandemic here.

An Overview of the Market Performance

  • According to the Malaysian Takaful Association, Family Takaful business has recorded double-digit growth in Malaysia in 2020. Its market value increased by 14% to RM364.2 bil in September 2020, arising from RM4.84 bil new business contribution.
  • The general takaful industry recorded a decent growth of 3.6%, with total gross contributions of RM2.57 bil compared to RM2.48 bil in 2019. Out of the various takaful categories, motor takaful held the largest proportion of 65.3%. In contrast, fire takaful is the second-largest business class with a gross contribution of RM450 million.
  • The industry’s durable position is an encouraging development given the fact that 70% of the country’s insurance premium are comprised of motor and properties, consumption-based sectors which typically mirrors the country’s GDP.

Future Development of The Retakaful Market

There are an estimated 324 Takaful operators around the world — Malaysia has the most comprehensive Family Takaful market while Saudi Arabia has the most significant General Takaful market. Demand for motor takaful, fire takaful and even family takaful is projected to rise following the Islamic financial system’s phenomenal growth, particularly in the Islamic banking sector and Islamic capital market — which can subsequently lead to a growth in the retakaful industry too. Nevertheless, at this stage of development, there is a limited amount of retrotakaful capacity available.

Challenges to Develop The Retakaful Industry

  • Retakaful operators usually operate with a limited appetite, and most of them only have enough business capacity to focus on providing coverage to domestic business.
  • The issue of limiting financial exposure comes into play, as some operators avoid accumulating exposures by accepting both retrocession and retrotakaful as it complicates the administrative and financial process.
  • Due to the relative financial strength and capacity of conventional players, conventional markets could offer more value-added services to their clients as compared to retakaful providers.

Malaysia’s national reinsurer, Malaysian Reinsurance Berhad (Malaysian Re), underwrites all classes of general reinsurance as well as general and family retakaful businesses, with an extensive business portfolio across Asia and the Middle East. Head over to to read more.

How Durian Investments Work

Durian is known as the ‘King of fruits’ across Asia due to its large size, crown like thorns and of course delicious taste. Although durian is unfamiliar to many outside of Asia, the durian market is one of the fastest growing and most profitable markets in the world at the moment. The market has grown an astonishing 46% per year since 2017, and is worth over US$20 billion today.  China is the worlds largest export market but Western markets are growing rapidly as well as they are becoming more familiar with the fruit. Since 2019 durian imports by Australia are up 347%, the UK up 145% and the US 85%. This has been a direct result of countries such as Malaysia, whose government has been supporting the industry by spreading awareness through trade expos. The economic value to Malaysia’s durian industry is in the billions and it is no wonder the government has been so supportive.

Malaysia has the most to gain from the durian industry’s growth due to it being the home of the world’s most in demand durian variety, Musang King durian. Grown only in Malaysia it fetches significant price premiums to other types, selling for up to 10x more, due to higher consumer demand for its delicious, creamy bitter-sweet flavor. Another interesting aspect of investing in durian is the fact you own something 100% tangible, it is long lasting and has a diverse range of end uses. The lifespan of a tree is about 25 years meaning you can get annual income every year which provides security. In terms of uses it is not only eaten as a fruit raw but also used in hundreds of items across Asia such as pastries, candies, beverages, concentrate, ice creams, and even chips.

To invest into durian is not easy. The most profitable and convenient way is to partner with a plantation management company that has been in the business for a long time and which allows clients to partner with them. The only other option would be to start your own durian farm however this is costly, risky, requires governmental approval and very time-consuming. In addition, you would need significant land to reach the size necessary to export, as exports are necessary to increase profitability.

Agroforestry Group Review

Agroforestry Group (AFG) is one company that has been leading the way in durian plantations in Malaysia. They are one of the largest growers of Musang King durian in Johor and also arrange private tours of their durian plantations so that people can learn more about the durian industry and why the fruit is so valuable and important. They are also a registered company with the SSM which is the countries regulated authority for corporate governance, compliance and legislation.

Agroforestry Group is a unique company in that they are one of the few in Malaysia applying technology to durian, such as tree barcoding, 24/7 online monitoring of their trees and data analysis. They are also  constantly reviewing their operations as can be seen in their latest ‘Agroforestry Group review‘ of their irrigation practices. They recently implemented a fertigation system after their group review which improves durian quality and production yields by administering fertilisers and nutrients simultaneously. This helps improve operations in more efficient and environmentally-friendly level compared to what other traditional durian plantations use.

Visit their website now for more information on durian to receive agroforestry group reviews on the market.

The Current Interest Rate Environment’s Impact on Your Finances

Whether you are saving for a future goal or attempting to pay off debt, the recent interest rate environment can have a major influence on your finances. Interest rates are the percentage of a sum of money charged for its usage that is established by central banks such as the Federal Reserve. When interest rates rise, borrowing money becomes more costly, and the returns on savings accounts and other fixed-income investments climb.

When saving for a future objective, such as a down payment on a house or retirement, a higher interest rate environment might be advantageous. Higher interest rates indicate that your savings will yield more interest, allowing your money to grow quicker. Furthermore, if you want to invest in a fixed-income instrument like a bond, higher interest rates represent a bigger return on your investment.

A higher interest rate environment, on the other hand, might be a negative if you have existing debt, such as a mortgage or a vehicle loan. Higher interest rates cause your monthly payments to rise, making it more difficult to pay off your debt. Furthermore, if you are thinking about getting a new loan, a higher interest rate environment indicates that the loan will be more expensive.

It’s also worth noting that the present interest rate environment has the potential to have a big influence on the broader economy. When interest rates are low, firms may borrow money for less money, which can lead to higher investment and economic development. When interest rates are high, however, it can slow economic development by making it more expensive for firms to borrow and individuals to borrow for significant expenditures.

Finally, whether you are saving for a future goal or trying to pay off debt, the present interest rate environment can have a major influence on your finances. When interest rates are high, it can benefit savers and fixed-income investors while hurting individuals with outstanding debt. It is critical to be informed of the present interest rate environment and how it may affect your financial condition, and to make appropriate modifications to your financial strategy. It’s also vital to consider the influence of the interest rate environment on the entire economy.

Getting a Glimpse of the Complex World of Financial Regulations

To protect customers, preserve market stability, and prevent fraud and abuse, the financial industry is extensively regulated. These requirements can be complicated and ever-changing, making compliance challenging for financial organisations and people. Anyone working in the financial business or managing their own accounts should be familiar with the fundamentals of financial rules.

Consumer protection is a major focus of financial regulation. This covers rules and regulations that protect customers from fraud, predatory lending, and other types of financial exploitation. The Truth in Lending Act, for example, compels lenders to disclose the terms and circumstances of a loan, including the interest rate and fees, in a plain and understandable manner. The Consumer Financial Protection Bureau (CFPB) is a federal government organisation in charge of implementing consumer protection laws and regulations.

Market stability and integrity are another aspect of financial regulation. This comprises legislation and regulations aimed at preventing market manipulation, insider trading, and other types of fraud. The Securities and Exchange Commission (SEC), for example, is a government organisation that regulates the securities markets and enforces federal securities laws. The Federal Reserve is also in charge of ensuring the financial system’s stability and supporting a healthy economy.

Prudential supervision is a third aspect of financial regulation. This covers rules and regulations aimed at ensuring the safety, soundness, and capitalization of financial institutions. The Federal Reserve, for example, is in charge of overseeing and regulating banks, whereas the Office of the Comptroller of the Currency (OCC) is in charge of supervising and regulating national banks. By insuring deposits in banks and other financial institutions, the Federal Deposit Insurance Corporation (FDIC) also helps to safeguard customers.

Financial rules may be complicated, and staying compliance can be tough for financial companies and people. It is critical for people in the sector to remain up to date on new rules and regulations, and to consult with legal and compliance specialists as needed. Furthermore, financial institutions should have strong compliance processes in place to guarantee that they satisfy all of their regulatory requirements.

The continual evolution of financial regulation is one of the most difficult aspects of it. New laws and regulations are issued on a regular basis, and current ones are often amended or updated. This may make it difficult for financial institutions and people to keep up with the times, as well as cause uncertainty about the future. Staying educated and up to speed on the newest changes in financial regulation, on the other hand, is critical for anybody working in the business or managing their own accounts.

Finally, financial laws are critical in safeguarding customers, maintaining market stability, and combating fraud and abuse. These requirements can be complicated and ever-changing, making compliance challenging for financial organisations and people. Understanding the fundamentals of financial rules, on the other hand, is critical for anybody working in the business or managing their own accounts. It is critical to stay informed and up to speed on the newest changes in financial regulation in order to ensure compliance and success in the financial business.

The Benefits and Drawbacks of Using Financial Planning Software

Financial planning software is a tool that assists people and corporations in managing their finances. These applications exist in a variety of flavours, ranging from simple budgeting and cost monitoring tools to more comprehensive software capable of handling intricate financial planning and investment research. The advantages and disadvantages of utilising financial planning software vary depending on the application and how it is utilised.

One of the primary advantages of financial planning software is that it allows people and organisations to better manage and track their finances. Many systems include budgeting tools, cost monitoring, and financial forecasts to assist users keep on top of their finances and make more educated spending and saving decisions. Furthermore, financial planning software may automate many of the time-consuming and unpleasant financial management duties, such as reconciling bank accounts and managing investments.

Another advantage of financial planning software is that it may help users have a better understanding of their overall financial status. Many applications include financial calculators and analytical tools that may assist users in understanding their net worth, retirement funds, and other critical financial parameters. Furthermore, financial planning software may assist users in identifying areas of their finances that require improvement, such as excessive debt or insufficient savings.

There are, however, certain disadvantages to adopting financial planning software. One of the most major disadvantages is that these systems can be difficult to use and may necessitate a large amount of time and effort to set up and maintain. Furthermore, financial planning software can be costly to acquire and may necessitate recurring membership payments. Some users may also discover that the programme does not fit their unique requirements, or that it lacks the amount of detail or customization that they require.

Another disadvantage of financial planning software is that it is unduly reliant on previous data and may fail to account for unforeseen occurrences or economic developments. A financial planning programme based on previous stock market performance, for example, may be unable to forecast future market downturns or recessions. Furthermore, certain forms of assets, such as real estate or alternative investments, may be inaccessible to some financial planning tools.

Finally, financial planning software may be a beneficial tool for people and organisations wanting to better manage their resources. It can assist users in staying organised, automating tiresome processes, and providing a more complete picture of their entire financial condition. However, it is critical to be aware of the potential negatives, which include the intricacy of the software, the expense, and the program’s restrictions. To pick the ideal application for their scenario, users should thoroughly examine their demands and investigate numerous financial planning software solutions.

How to Improve Your Credit Score

Although increasing your credit score can seem like a difficult endeavour, it is definitely doable with the appropriate steps and some patience. Here are some pointers to raise your credit score:

Check your credit report for errors
Verify that your credit report has accurate and current information. You should dispute any mistakes you uncover with the credit bureau.

Pay your bills on time
Your credit score may be significantly impacted by late payments. You may help ensure that you pay on time by setting up automatic payments or reminders.

Keep your credit card balances low
Try to maintain your credit card balances as low as you can because carrying a high balance can harm your credit score. Paying down the debt on your credit cards in full each month is one approach to achieve this.

Limit new credit applications
Your credit score could be negatively impacted by each credit application you make. Reduce the number of fresh credit requests you submit.

Use a mix of credit
Your credit score can be raised by having a variety of credit products, such as a mortgage, car loan, and credit card.

Be patient
Don’t give up if you don’t see changes immediately away because it will take time to increase your credit score. You’ll eventually see results if you keep working at it.

Improving your credit score

Along with the aforementioned advice, it’s crucial to monitor your credit score and check it frequently to see how it’s changing. Once a year, you are entitled to a free credit report from each of the three credit reporting agencies (Equifax, Experian, and TransUnion).

It’s also crucial to remember that paying off any existing debt as soon as you can will significantly raise your credit score if you have any. Avoiding asking for credit you don’t need is also a good idea because it will prevent your credit report from showing multiple hard queries.

In conclusion, raising your credit score requires time and effort, but if you use the advice provided above and are persistent, you can see noticeable results. Don’t forget to be patient, use a variety of credit, pay your payments on time, keep your credit card balances low, and verify your credit report for inaccuracies.

The Benefits of Having a Rental Property

Landlords can get a number of advantages from rental properties, including a consistent income stream, the possibility for property value growth, and the capacity for passive income generation.

The potential for a consistent revenue stream is among the main advantages of owning a rental property. Rent payments from renters can give landlords a reliable source of income, which is beneficial for those trying to augment their current income or retire early. Rental homes can also be a terrific opportunity for landlords to increase their savings or make investments in other properties.

Possibility of property value growth is another advantage of having a rental property. Landlords can get a sizable return on their investment as the property’s value rises over time. For landlords who intend to hold onto the property for a considerable amount of time, this may be extremely advantageous.

benefits of having a rental property

Landlords may be able to make passive income from their rental properties. Landlords can make money without actively managing the property because tenants are in charge of paying the rent and keeping it in good condition. For individuals seeking a less involved investment, this can be a fantastic choice.

Finally, having a rental property can make a landlord feel proud of themselves and their accomplishments. A crucial service that can be personally satisfying is being able to offer tenants a safe and comfortable place to live. Additionally, since landlords may get to know their tenants and have a positive impact on their lives, owning rental property can be a terrific way for them to foster a sense of community in the neighbourhood.

In conclusion, having a rental property can offer landlords a number of advantages, such as a consistent revenue stream, the possibility for the value of the property to increase, the chance to make passive income, and the satisfaction of knowing that they have successfully managed to find tenants. For those seeking to supplement their income, increase their savings, or invest in real estate, rental homes are a fantastic investment choice.

Paying Off High-Interest Credit Card Debt Strategies

For many people, high-interest credit card debt can be a significant financial hardship. If uncontrolled, it can easily get out of hand and become challenging to repay. However, there are a number of methods that can be applied to successfully pay off high-interest credit card debt and regain financial stability.

Focusing on paying off the card with the highest interest rate first is one method for paying off high-interest credit card debt. The “debt snowball” strategy, which starts by paying the minimum on each card while concentrating on the one with the highest interest rate, is how it works. The extra funds used to pay off the card with the highest interest rate can then be used to the card with the second highest interest rate, and so on, once the card with the highest interest rate has been paid off. This strategy may work well since it enables you to swiftly pay off the debt that is costing you the most in interest.

Consolidating your obligations is an additional method for paying off high-interest credit card debt. You can accomplish this by either taking out a personal loan with an interest rate that is lower than your credit card interest rates or by shifting all of your credit card balances to a single card with a lower interest rate. Over time, this can help you save money on interest fees, which will make it simpler to pay off your debt.

Negotiating a lower interest rate with the credit card company is a third tactic. Credit card providers can be open to negotiating a reduced interest rate on your card if you have a solid credit history and have been a consistent user. Over time, this can help you save a sizable sum of money and make it simpler to pay off your debt.

Also keep in mind that setting up and adhering to a budget can be essential to paying off high-interest credit card debt. This entails establishing a monthly budget for your expenditures and adhering to it. It also entails researching strategies to reduce spending, such as limiting dining out or terminating unused subscriptions. Your credit card debt can then be paid off more quickly with the extra cash you save.

Finally, although it can be challenging, paying off high-interest credit card debt is not impossible. You can successfully pay off your high-interest credit card debt and achieve financial stability by concentrating on the card with the highest interest rate first, combining your obligations, negotiating for a lower interest rate, and adhering to a budget.

The Perks of Automating Your Savings and Investing

You may achieve your financial objectives by automating your investing and saving. You may make sure that you continuously save and invest a percentage of your salary by setting up automatic transfers from your checking account to a savings or investment account, regardless of how busy or forgetful you may be. Just a few advantages of automating your investing and saving are as follows:

Consistency is one of the biggest obstacles to saving money and making investments. It is simple to become preoccupied with current costs and neglect to save money for the future. By automating your investing and saves, you can make sure that you are continually saving money and moving closer to your financial objectives.

Automating your investments and savings might also assist you in developing financial discipline. By establishing automated payments, you commit to a specific savings or investing strategy and maintain it in the face of unforeseen expenses. You can use this to keep on track and reach your financial objectives.

By automating your investments and savings, you can resist the urge to make impulsive purchases. You are less inclined to spend money on things you don’t need when you set up recurring transfers because that money is already designated for your savings or investment account.

automating investments and savings

Automating your savings and investing can also be a wonderful method to invest in a range of assets and diversify your portfolio. For instance, you can set up automatic transfers to a number of investment accounts, including bond funds, real estate investment trusts, and stock market index funds. By doing this, you can spread out your risk and possibly increase your long-term gains.

The power of compound interest is yet another significant benefit of automating your savings and investment. Your money can grow over time by continually investing a portion of your salary, earning interest on both the initial investment and the accrued interest. You might be able to accomplish your financial objectives more rapidly.

In conclusion, automating your investments and saves might be a useful tool for assisting you in achieving your financial objectives. You may make sure that you are continuously saving and investing a percentage of your money by setting up automatic transfers, regardless of how busy or forgetful you may be. Additionally, it can assist you in developing self-control, preventing impulsive purchases, diversifying your portfolio, and utilising the benefits of compound interest.