risks associated with these intermediaries, will remain a priority topic for us. i now formally close the event, and wish you all the best. go raibh mile maith agaibh go leir agus slan agus beannacht. 1 12 % of smes surveyed “ strongly agree ” that a lack of financing was a barrier investment in 2020, while another 21 % “ agree ”. 2 heffernan et al. 3 / 3 bis central bankers'speeches

##isations. i can only encourage eiopa to press on this issue and ensure that firms that would not be authorised in one country do not find a home in another. two of the panel discussions today focus on the customer in tomorrow ’ s world. let me comment on the role of technological innovation in distribution channels. first, more widespread deployment of online distribution channels has the potential to reduce costs, expand access to insurance products and improve consumer convenience. however, at the same time, online distribution requires a parallel increase in attention to cyber risk. the international association of insurance supervisors has recently discussed this topic, highlighting that the foundation of the insurance business is trust, and that trust could be irrevocably shaken if sensitive data were lost or claims payments disrupted. our assessment at the central bank of ireland is that cyber risks pose not only financial and reputational risks for individual insurance firms but that there are wider consequences for prudential supervision, consumer protection and financial stability. bis central bankers ’ speeches second, the automation of advice to potential customers is a promising development. however, as recently highlighted by the joint committee of the european supervisory authorities, there are pros and cons to these tools from a consumer perspective. the potential benefits include lower costs, increased convenience and greater consistency in advice. the primary disadvantage is the risk of an unsuitable final recommendation due to the lack of a human advisor. to represent a net gain for consumers, the design of automated advice systems must ensure that consumers are provided with clear, accurate and relevant information and recommended suitable products appropriate to their needs. the properties of suitability and transparency are among the most important principles underpinning the central bank ’ s consumer protection framework and are increasingly important in this period of rapid technological innovation. one of the panel sessions will focus on global and european financial stability. in the international regulatory community, there is increasing interest in the inter - relations between the insurance sector and the stability of the broader financial system. in one direction, excessive risk taking by insurance firms can be a source of financial instability, both directly and indirectly through the interconnections between the insurance sector, other financial intermediaries and financial markets. in the other direction, the insurance sector can make a positive contribution to financial stability, given the potential complementarities between the balance sheet structure of the insurance sector and the balance sheet structures of other sectors. much of the current risk discussion has focused on the implications of a protracted low interest rate environment for the insurance sector.