The study by EDM surveyed 50 insurance brokers between August and September 2015

Database computer network

Insurance brokers believe that regulation and legacy systems pose the biggest risks for insurers, a new research has shown.

A study by information management firm EDM Group found that 75% believed regulation posed the most risk, while 70% ranked legacy systems as the second most risky issue for insurers.

The third most significant concern among brokers was in regards to information and data management (65%).

Lack of trust was ranked fourth by 63% of brokers and quality of workforce, fifth, by 54% of firms.

EDM Group chief technology officer Spencer Wyer said: “At a time when regulation is becoming ever more tangible, particularly given the implementation of Solvency II, information quality continues to be fundamental to the insurance sector.

“Our research shows that insurers are facing a number of serious challenges, and key to tackling these will be the quality of information they hold and how they are able to access this and manage it.”