Kathmandu. Insurance companies in the Asia-Pacific region are divided on how to manage regulatory compliance. Smaller companies are focusing on reporting demands. While large companies are preparing for future regulatory changes.
A recent study by Clearwater Analytics shows this. According to the report, 48 percent of insurers in the Asia Pacific region consider meeting their internal and external reporting requirements as their biggest compliance challenges.
Companies with an asset management (AUM) of between $1 billion and $10 billion are more likely to identify reporting responsibilities as their primary concern, the report said. While large companies with AUM of more than $10 billion have preferred to adapt to changing regulations.
More than a third of respondents, or 35 per cent, said adapting to regulatory changes was their biggest challenge. While 13 percent pointed to the difficulty of meeting different requirements in many regulatory systems.
Clearwater Analytics surveyed insurance asset management executives at life, health and general insurance companies in Hong Kong, Singapore and Australia, as well as executives from third-party investment firms that work with life insurance companies. Looking ahead to the next 3-5 years, 14 per cent of respondents said it would be “very difficult” to meet the changing regulatory requirements in different markets. While 18 percent said it would be “very difficult”. In comparison, 10 per cent said it would be “too easy” and 43 per cent said it would be too easy.
Despite these concerns, most respondents expressed confidence in the current compliance capabilities of insurance companies. About 37 percent rated insurance companies in the region as “very good” at adapting to regulatory changes. While 55 percent rated themselves as “very good”. Only 5 percent of insurance companies were “very weak” in their compliance capabilities.
According to Shane Ackroyd, chief strategy officer and president of Asia Pacific at Clearwater Analytics, the region’s regulatory environment is creating a “two-market story.” “Smaller companies are struggling to manage current reporting requirements,” he said, while larger companies are preparing for future regulatory developments. ’
According to Ackroyd, insurers investing in integrated compliance systems are likely to benefit from increased regulatory complexity across the sector. The study was commissioned by Clearwater Analytics and conducted by research agency PureProfile. It surveyed 150 senior executives in October 2025. –Agency
