In today’s digital world, the range of products and services insurers are able to offer is continually expanding. Through insurtech, providers and carriers can deliver products that offer individualized customer experiences.
Digital insurtech platforms empower traditional insurers held back by slow and inflexible legacy infrastructure to become more efficient, embrace new opportunities, and keep up with emerging industry challengers.
In part 1 of this series, read the considerations insurance providers should keep in mind to determine which services make the best insurance platforms on the market and which to avoid.
Why are there so many providers of insurance software?
New developments in the insurance marketplace have the potential to dramatically change the industry. In fact, the value of capital being invested in insurance technology companies globally is on the rise. As of 2020, worldwide insurtech value is approximately $14.5 billion.
The digital revolution, spreading like wildfire across industries, has been slow to take hold in insurance. Insurers face a complex business environment due to rapidly evolving technology and consumer expectations. This demands a digital-first approach so that insurers stay ahead of the curve and the competition.
Though they’ve been around for a while now, insurance software is fast becoming an essential requirement in modern insurance.
Considerations for selecting a digital insurance platform
Are the services cloud-native?
In the past, insurers built functionality on a case-by-case basis, resulting in a complex system architecture. Unfortunately, building functionality, one at a time, isn’t always the solution. Instead, insurers should look for an agile, cloud-native system, allowing for updates to be made at one time. This means less downtime and more time for insurers to increase profitability.
Is the service customizable?
Accenture found that 80% of consumers are willing to share their data to insurers in return for benefits like lower prices, more relevant and personalized offers and alerts, and quicker claims processing. Modern digital platforms should provide the ability for companies to customize their offerings as they see fit. Inflexible design limits a company’s ability to evolve to the needs of the rapidly developing market.
Can the digital tools be used by the entire business?
The most successful platform providers are committed to creating future-proof digital ecosystems for their customers and key stakeholders. Early digital platforms suffered from requiring highly trained, technical staff to be useful. Modern digital platforms have to be accessible for all users in your organization.
Does the insurance software improve speed to market?
When choosing a new digital platform, insurers should consider the timescale for bringing new products to market. For existing products, speed to market requires the ability to make timely updates to adapt coverage offerings and pricing, in response to changing consumer demands.
Modern insurance software platforms should help you make changes in minutes, rather than weeks.
Discover an Insurance Platform that’s Trusted by Leading Insurers Worldwide
Whether digitizing an entire business, taking a vertical slice of an existing business, or launching a new innovative product, INSTANDA’s no-code insurance platform provides everything needed to design new products.
Get in touch today with our team of friendly professionals to streamline your insurance life cycle today.
Kick-start your journey by requesting a demo of INSTANDA.
Stay tuned for Part 2: Navigating the Pitfalls of the Digital Insurance Platform Market, where you will learn about ways to recognize the best insurance platform and benefits of selecting the right insurance platform.