Insurtech products that have to be re-engineered for every country and new peril are a real challenge. Time, cost and complexity are the result.
The same must be said for industry leading platforms that costs $millions to deploy in every country (and in the US every State).
Agile and cost effective insurtechshould be deployable cost-effectively and fast for every global insurer that is a result of M&A and the consequent mix of disparate legacy systems. More than that it must be en effective combination of:-
- Digital Platform
- Orchestration Hub
- Digital Services
Otherwise it is just a technology and not a complete product.
Sridhar Manyem, director, Industry Research and Analytics, commented; “Industry CEOs can no longer relegate technology to their IT divisions. They need to have an in-depth understanding of technological concepts and how they relate to specific business operations and strategy, given the potential for industry disruption. If done properly, technological improvements and increased automation can increase efficiency and offer better insights.” However, insurers which have grown through acquisitions face additional challenges to integrating and updating processes, A.M. Best said, explaining that like enterprise risk management, technological advancements have to flow throughout a company culture.