Underwritten by Equisoft, this new research focuses on a
specific window in the implementation of a modern policy
administration system to understand the tipping point for project
approval and how intangible costs and benefits are weighed in the
decision-making process.
PHILADELPHIA, Sept. 16, 2020 /PRNewswire/ - In a new report
underwritten by Equisoft, global research firm Celent presents
the findings of an interview series aiming to understand how life
insurers reached the tipping point in making a decision to move
forward with the investment in a modern policy administration
system, from the recognition of the problem through the decision to
move forward. The research was conducted with selected IT and
business executives at large- and mid-sized North American
companies offering individual life, annuities, preneed, as well as
group and voluntary products.
"Many insurers are at a precipice in their need for a new core
system and it will be very difficult to remain competitive while
using technology that is long unsupported, in languages no longer
in use, run on a complicated and expensive mainframe, and supported
by people nearing or past retirement age," explained Keith Raymond, Senior Analyst, Life Insurance
and Annuities, Americas at Celent. "Our primary goal with this
research was to find consistent themes across insurers, and
hopefully identify how companies convert known intangible into
tangible benefits that can be monetized."
Click here to access the full report.
Unique technology challenges facing life insurers
As stated by Celent, "life insurers are facing a much
longer-term challenge than their non-life peers because they have
in-force policies on their books that might have been sold 75 years
ago, and policies sold today that could be there for another 75,
creating a 150-year problem."
Companies have spent years working to maintain their aging
infrastructure but longer-term considerations about retiring their
legacy systems and migrating their data to a modern platform have
been turned, almost overnight, into issues that need to be
addressed today. Customer expectations have been heightened by
their online interactions in other industries, and in a time of
physical distancing, the traditional face-to-face meetings to
gather customer information, illustrate concepts, complete
applications and obtain signatures are no longer possible.
Integrated digital front-end tools and automated workflows are now
required to optimize the entire sales process.
"The tipping point for our clients was realizing that patching
their outdated administration systems on an as-needed basis was not
only a resource and cost intensive effort, but one that barely
allowed them to maintain the status quo," said Mark DePhillips, Senior Vice President,
USA at Equisoft. "To truly compete
and thrive in today's fully digital world requires a modern,
connected, and configurable policy administration platform. It's
been encouraging to see an increasing number of insurers performing
cost/benefit analyses, both tangible and intangible, and we're
thrilled to be helping many of them move to that fully digital
environment."
About Celent
Celent is a research and advisory
firm dedicated to helping financial institutions formulate
comprehensive business and technology strategies. Celent publishes
reports identifying trends and best practices in financial services
technology and conducts consulting engagements for financial
institutions looking to use technology to enhance existing business
processes or launch new business strategies. With a team of
internationally experienced analysts, Celent is uniquely positioned
to offer strategic advice and market insights on a global basis.
Celent is a member of the Oliver Wyman Group, which is a
wholly-owned subsidiary of Marsh & McLennan Companies [NYSE:
MMC].
About Equisoft
Founded in 1994, Equisoft is a global provider of advanced digital
solutions in life insurance and wealth management. Recognized as a
valued partner by over 50 of the world's leading financial
institutions in 15 countries, Equisoft offers innovative front-end
applications, extensive back-office services and unique data
migration expertise. The firm's industry-leading products include a
comprehensive SaaS policy administration solution, CRM, financial
needs analysis, asset allocation, quotes and illustrations,
electronic application, agency management systems, as well as
customer, agent and broker portals. Equisoft is also Oracle's
largest and most experienced reseller and integration partner for
the Oracle Insurance Policy Administration platform. With its
business-driven approach, deep industry knowledge, state-of-the-art
technology, and over 450 specialized resources based in the
USA, Canada, Chile, Colombia, South
Africa, India and
Australia, Equisoft helps its
clients tackle any challenge in this era of digital disruption.
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SOURCE Equisoft