Insights from Instech: No-Code Technology Provides Value
The belief of insurance professionals is that the majority of insurance will be bought online within 5 years, yet digital transformation continues to be a struggle in the insurance industry. Why? This is due to internal resistance and a long-held belief in legacy tech. Insurers have been ingrained to believe that inflexible and outdated technology prevents insurance companies less equipped to respond to the evolving needs of the modern consumer.
However, recent advances in technology have finally enabled the kind of flexibility that previous solutions lacked. For the first time, stakeholders don’t need a detailed understanding of code to create new products with technology.
In this article, we’ll explore the full value of no-code technology in insurance, summarizing the critical insights from Instech London’s 2021 No-Code Low-Code Report.
What is No-Code Insurance Software?
No code technology is any system that helps to create new products, platforms, or services, without requiring the user to understand tech development or coding.
In insurance, no-code technology has a multitude of valuable use cases. For example, insurers can rapidly create and customize policies, duplicating sections that are relevant to multiple customers while personalizing only the elements of the policy that most require their attention.
No-code technology has the potential to help insurers do more with less expenditure. Yet, what is holding the industry back from investing in no code technology? And how can insurers overcome the challenges posed by legacy technology?
Legacy Technology Creates Problems
In decades past, legacy technology was claimed as the promising solution that would make insurance seamless, cheaper, and reactive to market conditions. According to Instech’s report, these scars persist, resulting in enduring cynicism across the industry.
But there are other problems compounded by legacy technology that continue to hinder insurers’ successful transition to the widespread use of no-code solutions:
- Building and maintaining legacy technology is expensive and complicated, costing millions of dollars and years to implement new products.
- Regardless of in-efficient systems, internal attachment to custom-built systems leads businesses to stay with their legacy platforms, costing them precious time and money.
- Business users are focused on their own roles, and don’t feel that they have the bandwidth or expertise to be involved in software development projects - leading to low engagement with technology in general.
Incredibly, no-code technology has the potential to address these concerns, provided insurers can recognize the opportunities it presents for their businesses.
Opportunities of No-Code Insurtech
The Instech report points out that no-code technology itself isn’t new: program suites like Microsoft Office and Google Drive have facilitated document creation without code for decades. However, modern solutions offer cloud-based micro solutions, enabling users to easily update, modify or replace small components of their technology as necessary.
As such, no-code technology is cheaper to update than legacy technology and has customizable functionality. Furthermore, the ease with which the technology can be deployed can counter concerns that business users lack the bandwidth to take ownership.
Gartner estimates that 65% of all app development will be performed through no-code technology by 2024.
The Business Value of No-Code Technology in Insurance
Instech outlined the business value of no-code technology, identifying the most significant benefits:
- Reducing costs and driving growth
- Providing iterative capabilities to allow users to test and learn, in real-time
- Enabling industry experts to actively design the systems in ways that will make the biggest impact to their professional functions
Two Tips to Achieve a Digital-First Insurance Model
For insurers that are looking to overcome internal hurdles and make the most of the no-code opportunity, Derek Hill, COO of INSTANDA, gave two tips:
- “Companies must internally align on the business’s ambitions and then apply that understanding to procurement, compliance, and IT processes.”
- “Set up a digital Centre of Excellence, composed of several business users that are primarily responsible for maintaining standards and the successful launch of the project within a set timeframe.”
How INSTANDA’s No-Code Technology Helps
Thanks to no-code insurance platforms like INSTANDA, insurers don't need to invest precious time or resources to find highly expensive dev expertise every time they want to launch a new product. INSTANDA’s no-code platform does the hard work, providing stakeholders with quick access to an easy-to-understand interface.
Our no-code technology is designed to liberate underwriters, brokers and MGAs from the historic risks associated with building out new products. We have a proven track record of delivering business-relevant configuration for insurance providers across sectors.
By using one provider, insurers can ensure all team members benefit from a single, unified version of the truth as they help their businesses to grow dynamically in the years to come.
Choose an Insurance Platform You Can Trust
For insurers looking to stay competitive and relevant to customers in the coming years, selecting the right digital platform will be critical. By partnering with a provider that places no-code technology at the center of its design, insurers of all kinds can react proactively to the needs of the market, driving future business and growth prospects.
Get in touch today to discover how INSTANDA can realize your insurance ambitions with an easy-to-use, no-code technology platform.
Kick-start your journey by requesting a demo of INSTANDA.
