Regulatory and legislative pressures are the most significant barriers to growth in the US, according to most respondents in this year’s KPMG Insurance Industry Survey.

The threats are ranked first by 60% of executives polled, up 13 percentage points on last year and 19 points on 2011.

“Given its scope and the nagging uncertainty surrounding it, new and pending regulation continues to have broad industry implications,” KPMG said.

Concerns include possible healthcare reform, increased federal oversight, convergence of insurance contract standards and corporate tax reform.

Underwriting pricing and distribution channels are operational improvement priorities this year for 40% of executives, followed by cost cuts related to processes and organisation, and customer centricity and retention drives.

About 26% of respondents report high levels of data analytics literacy in their companies, while 29% rate their analytics usage “about average”.

Data and analytics are considered most useful for risk management, acquiring customers, competitive intelligence and product positioning.

Despite modest economic growth, 73% of executives say revenues have increased this year.

There is also confidence for the future, with 63% expecting the economy to be better next year and 81% anticipating higher revenues.

About 41% of respondents have no merger or acquisition plans this year, up from 32% last year.

Brazil is the preferred target for about 15% of those planning to invest $US5 million ($5.5 million) or more in emerging markets.

The survey was conducted in the US spring and reflects the views of 101 senior executives.