As the Decisions team prepares to attend InsureTech Connect (ITC) Vegas 2024, we’re energized about attending an event that is the epicenter of innovation in the insurance industry, bringing together visionaries, decision-makers, and developers who are shaping the future of insurance. It's an unparalleled opportunity to connect with industry leaders, explore emerging technologies, and discover how the latest advancements can drive operational excellence.
In exploring the top themes being covered at the event, such as the impact of GenAI, the continued digital transformation in the industry, and the evolving landscape of cybersecurity and risk management, two priorities stand out for me: the pressing need for agility in an era of rapid technological change and the importance of balancing innovation without adding risk and more fragmentation.
Agility
Agility has long been a struggle for the insurance industry. Complex processes, the over adoption of technology solutions to manage different aspects of operations, varying regulations by region and product type, and the massive amounts of data from various sources, make it difficult for many companies and carriers to operate with agility and adapt quickly. Digital transformation should be a pathway to more agile processes, not a hindrance.
Additionally, many legacy systems require manual adjustments to adapt to changes in regulations, premiums, ratings, and risk assessments, requiring time and resources—creating inefficiencies, and impacting customer satisfaction and profitability. To be competitive, insurance companies and carriers need to turn on a dime with speed and accuracy, and their technology should enable them to do so. This should be a top priority for insurers.
Innovation Without Fragmentation
While the insurance industry is eager to adopt innovative technologies, a key challenge is implementing these solutions without adding more disjointed systems into an already complex tech stack. Many insurers have accumulated a patchwork of specialized tools over the years, leading to fragmented processes and siloed data. According to Deloitte, 23% of insurance companies are using more than four policy administration systems (PAS), while some carriers have over 10 different systems in place. The goal is not just to innovate but to do so in a way that unifies and streamlines operations rather than complicating them further.
