The insurance and financial services industry has never faced a shortage of regulation.
Over the years, layers of legislation, governance frameworks, compliance requirements and professional standards have been introduced to protect clients, strengthen institutions and improve accountability across the sector. Yet despite these efforts, public trust remains one of the industry’s most fragile assets. This should concern every intermediary, insurer, adviser and executive. Trust is not a regulatory outcome. It is a human one.
Clients do not place their confidence in legislation. They place their confidence in people so every recommendation, policy, claim settlement and client interaction either strengthens or weakens that confidence. The industry’s reputation is not built in boardrooms, courtrooms or regulatory hearings. It is built in thousands of daily decisions made by professionals across the country. At the heart of those decisions lies a concept that is rarely discussed as openly as it should be: ethical courage.
GIFS views ethical courage as the willingness to do what is right when doing so may be uncomfortable, unpopular or personally inconvenient. It is the decision to raise a concern when something appears wrong. It is the determination to challenge conduct that threatens an institution’s integrity. It is the understanding that loyalty to a profession must always be greater than loyalty to personal interests. We have also been unafraid to speak truth to power.
The financial services sector often speaks about risk. We analyse it, price it, transfer it and mitigate it. We understand the consequences of operational risk, market risk, reputational risk and regulatory risk. Yet one of the greatest risks facing any institution cannot be quantified on a balance sheet. It is the risk created when people choose silence over responsibility. History repeatedly demonstrates that the most damaging organisational failures rarely begin as crises. They begin as small concerns that go unaddressed. Someone notices an inconsistency. Someone identifies a weakness. Someone observes behaviour that does not align with organisational values.
The issue is recognised, the concern is understood and yet nothing happens. Over time, what could have been corrected becomes embedded. What could have been challenged becomes normalised and what could have been resolved becomes a much larger problem. The consequences are seldom immediate but they are nearly always significant. This reality presents an important challenge for the insurance profession. As an industry, we pride ourselves on protecting people from uncertainty. We provide security when life takes an unexpected turn. We support businesses recovering from losses. We enable investment, growth and resilience. The value we create for society is substantial.
However, our ability to fulfil that role depends entirely on public confidence. Remember, a policyholder who does not trust their insurer becomes sceptical. Similarly, a client who does not trust their adviser becomes hesitant. That leads to a society that does not trust its financial institutions. We know that trust, once lost, is extraordinarily difficult to rebuild. This is why ethical leadership matters.
Leadership is often associated with authority, influence or position. In reality, leadership is measured by responsibility. It is reflected in what people are willing to protect, defend and improve. Some of the most important leadership moments occur long before a crisis emerges. They occur when individuals choose to ask difficult questions. They occur when concerns are escalated rather than ignored. They occur when transparency is prioritised over convenience. The phrase “see something, say something” has become familiar in many sectors. While simple, the principle remains powerful because it reinforces a fundamental truth: institutions are strongest when people care enough to protect them. This lesson carries particular significance as the industry prepares for the future.
A new generation of professionals is entering financial services. They bring different expectations, perspectives and priorities. They want to join organisations whose values extend beyond slogans and corporate reports. They seek workplaces where integrity is visible, accountability is meaningful and leadership is authentic. They are paying close attention. And as an industry, we therefore have a choice.
We can treat ethics as a compliance requirement and accountability as a governance process, or we can recognise that both are essential ingredients of professional excellence. The future of financial services will not be determined solely by technology, regulation or economic conditions. It will be shaped by the quality of leadership demonstrated throughout the sector. That leadership is not revealed when circumstances are easy. It is revealed when difficult decisions must be made, uncomfortable truths must be confronted and principles must be upheld.
In recent weeks, we have seen how the Board of the Insurance Sector Education and Training Authority (INSETA) has dismissed its CEO following an investigation into her conduct. GIFS has long championed the need for a learner-first INSETA, where accountability to learners is paramount. What we know is that strong professions are not sustained by regulation alone. They are sustained by people with the courage to do the right thing, even when no one is watching.