Understanding True Innovation in the Insurance Industry Through Insights from In2Leadership Conference

At the In2Leadership conference hosted by the CPCU Society in Phoenix, Arizona, industry professionals delved into the meaning of true innovation within the insurance sector. Led by Professor Euvin Naidoo from Arizona State University, the session illuminated the distinction between disruptive innovations and mere improvements, which are often mistakenly labeled as innovations. The discussion highlighted examples like the iPhone’s market transformation compared to the incremental changes seen in products like the Blackberry.

Professor Naidoo emphasized that innovation isn’t just about upgrading existing processes; it involves fundamentally changing the approach to solving common problems with unexpected solutions. The concept of "disruptive innovation," originally coined by Clayton Christensen, captures this essence by describing innovations that completely alter the industry landscape, setting the stage for new challenges and advancements.

The conference also covered the practical aspects of fostering both sustainable and disruptive innovations. Insights included the necessity for continuous improvement, exemplified by Toyota’s ongoing enhancements to the Corolla, contrasting with the potential for significant industry shifts prompted by insurtech companies. Naidoo’s discussion also tackled the critical ’innovation chasm’—a phase where many startups falter as initial excitement wanes but which must be crossed to achieve long-term success.

With upcoming events like In2Risk in Orlando, the CPCU Society continues to encourage a deeper understanding of risk management, leadership, and the ever-evolving role of technology in insurance.