At the dawn of the 2020s just over three years ago, no one, including property/casualty executives, thought a pandemic would sweep the globe. The disruptions caused by the COVID-19 pandemic, and governments’ response to it, will be felt for years to come.
Executive Summary
In inflationary environments like the one we currently find ourselves in, many companies react by trimming or even eliminating their marketing budgets, viewing them as non-essential costs. That's a short-sighted move, according to consultant Carol Williams, who stresses the importance of maintaining advertising activities to stabilize revenue, overcome churn and be in a stronger position on the other side of the inflationary period. Here, she offers several tips for dealing with rising employee costs as well.One of the impacts that has become quite noticeable in the last 12-18 months is the resurgence of price inflation across the board. The combination of supply chain disruptions and unprecedented monetary stimulus by governments worldwide are seen as the leading culprits. While impacts vary based on the industry and situation, virtually no one has been left unscathed by what is considered to be the worst price inflation in over 40 years.
To compound this, insurers are being inundated with not just the price inflation being felt throughout the general economy but also with “social inflation,” or simply the cost of claims and litigation being driven by social trends.
