(wire)
Survey: Insurance policy admin systems not meeting carrier demands
Policy administration systems at insurance companies are overburdened and do not meet carrier demands for growth, adaptability and standardization, according to a recent survey by Accenture.
The survey found that 84 percent of property and casualty insurers surveyed consider modernization of their policy administration systems to be a key priority over the next three years.
Driving the need for system improvements are the need for speed-to-market and greater flexibility, according to insurers.
According to Michael Costonis, executive director of Accenture's insurance practice for North America, "The complex legacy environment as a barrier to high performance is not a new issue, as insurers have been trying to modernize their core systems for at least 10 years, but few can really claim success. It is very difficult to enhance systems while keeping them working, and insurers have need to have a well-defined release strategy that balances speed of implementation with delivery risk."
The survey found also found that 92 percent of insurers see organic growth as the main contributor to overall revenue growth, while 81 percent feel their current systems are not adequate to support current and anticipated needs.
The survey found that 84 percent of property and casualty insurers surveyed consider modernization of their policy administration systems to be a key priority over the next three years.
Driving the need for system improvements are the need for speed-to-market and greater flexibility, according to insurers.
According to Michael Costonis, executive director of Accenture's insurance practice for North America, "The complex legacy environment as a barrier to high performance is not a new issue, as insurers have been trying to modernize their core systems for at least 10 years, but few can really claim success. It is very difficult to enhance systems while keeping them working, and insurers have need to have a well-defined release strategy that balances speed of implementation with delivery risk."
The survey found also found that 92 percent of insurers see organic growth as the main contributor to overall revenue growth, while 81 percent feel their current systems are not adequate to support current and anticipated needs.
