Malta leads discussion on digital transformation and emerging risks in insurance

Malta is positioning itself at the forefront of innovation in the insurance industry, taking a leading role in shaping how the sector responds to digital transformation and emerging global risks such as cyber threats and climate change.

These pressing themes were the focus of Innovating Insurance: Malta’s Digital Shift & Emerging Risks — a high-level discussion hosted by FinanceMalta, in collaboration with the University of Malta’s Department of Insurance and Risk Management that brought together practitioners, academics and students pursuing advanced studies in insurance regulation from across Europe and beyond.

Representatives from international supervisory authorities joined the discussion, a clear indication of the global relevance and growing momentum of this critical discussion.

The event positioned Malta as a leading voice in the international conversation on the future of insurance. Two panel sessions focused on how technological advancements are reshaping operations and the strategies being employed to mitigate new risks, including cyber threats and climate change, while exploring regulatory and legal implications of innovative insurance solutions.

Speakers included Prof Pierpaolo Marano from the University of Malta’s Department of Insurance & Risk Management, Ray Schembri - Head of Insurance & Pensions Supervision at the MFSA, Elvira Lopez de Lara Merida - CEO of MSV Life, Dr Beppe Sammut - Ganado Advocates, Mort Mirghavameddin - RuleWise, Alexander Hamels - DLA Bruxelles, and Robbert Brand - AIVHY

The speakers highlighted the positive role of AI, noting its ability to analyse large data sets and assess marketing material for fairness, ensuring customers are not misled. However, they stressed the importance of keeping humans in the loop to maintain accountability, ethical standards and transparency in decision-making.

Cyber insurance emerged as an innovative element within industry during the session’s exchanges, with speakers remarking how such coverage is becoming essential for all businesses, while insisting that this cannot replace robust risk management. Panellists emphasised that cyber insurance should be seen as a complement — not a substitute — to effective internal controls and resilience planning and a wider risk strategy.

Regulatory representatives observed a positive cultural shift in how organisations are approaching risk, urging businesses to apply the same enthusiasm shown for digital efficiency to investment in cybersecurity.

This event formed an integral part of the Advanced Studies on Insurance Regulation: An International Course, promoted by the University of Malta’s Department of Insurance and Risk Management.

"This event reflects the strong collaboration between industry, academia, and regulators — and our shared commitment to shaping a resilient, agile, and forward-looking insurance industry," Bernice Buttigieg, FinanceMalta’s Chief Strategy Officer, said.

“The challenges we face — from AI and digital disruption to climate and cyber risk — are global. Malta may be small in size, but we see ourselves as an active player in this international dialogue”, she added.

Prof. Pierpaolo Marano encouraged participants to embrace AI, while stressing the need to clearly understand its role, opportunities and challenges. He noted that the concept of AI itself is evolving rapidly — our definition of AI in a few years has already shifted towards more advanced, cognitive systems.

“We must keep pace with this change and ensure we use AI in a way that is responsible, informed, and effective.”