Insurance Technology Featured Article

X By 2 Reveals IT Challenges and Trends Faced By Insurance Industry

January 06, 2014

X by 2, a consulting firm specializing in the insurance industry, revealed major challenges that this industry faces with regards to IT and the trends of IT adoption. X by 2 serves national and regional life, health and property-casualty insurer clients by delivering architecture design, planning, oversight and turnaround services on enterprise-scale business technology initiatives.

Yasir Hussain, principal of X by 2, said, “Insurers that embrace change and make significant investments in direct-service channels and self-service capabilities to consumers through mobile and Web will gain market share for the foreseeable future.”

“While system modernization continues to take place in the backend, leapfrog investments will be made to the systems supporting mobile and Web,” Hussain added.

One key revelation was the increase in prominence of self-service. Rather than relying just on human agents, the insurance industry is moving towards other channels for delivery of consumer services.

According to analysts, the concept of Big Data is used to address consumer needs optimally. Better knowledge about customers will help any company to serve them better. Those insurance companies which were proactive in addressing this need and who have already implemented steps to enhance customer service will reap rich dividends now.

The use of Big Data and analytical applications have helped insurance companies to augment their sales, service, and support services appreciably while companies which did not invest in this sector will have to overcome steeper hurdles.

The need to execute transformative initiatives regarding core systems, business intelligence and analytics, and customer facing portals and platforms has become imperative now. IT departments have to be ready with enabling systems and platforms that match market demands in the insurance industry.

Story tellers or people who are experienced in ways to apply context, have intuition, and can visualize the meaning of Big Data churned by data scientists will be in demand. The value that is buried in the information has to be converted into actionable context that can be understood and leveraged for making optimum business decisions.

CallidusCloud’s Big Data for Insurance looks at a complete picture of a carrier’s business including billing history, policy administration details, producer demographics, claims data and detailed customer interactions. The solution will provide visibility into what specific attributes or actions lead to customer cancellation to reduce churn, when bundle or upgrade offers are delivered to customers to improve average revenue per unit, and return on marketing spend.




Edited by Cassandra Tucker

Article comments powered by Disqus

Related Insurance Technology Articles

Report: Canadian Insurance Market to Focus on Technology in 2015

Business processing services provider Xchanging Insurance Services recently announced the results of an industry survey it completed regarding the Canadian insurance market. To complete the survey, it partnered with Insurance-Canada.ca, which completes seminars and survey to help inform consumers and insurance professionals about the latest in technological innovation in the insurance market. [ Read More ]
11/24/2014

Certifi to Deliver Improved Billing and Payment Management Through SaaS William Platform

Inefficiencies in medical billing costs the U.S. healthcare industry billions of dollars annually, and as another government program, the Affordable Care Act (ACA) or Obamacare, gets integrated into the system that number is surely to rise. A study conducted by Harris Poll on behalf of NerdWallet in August of this year revealed hospital billing errors are resulting in overcharges of up to 26 percent. The number of errors for Medicare medical billing was all the way up to 49 percent, meaning almo… [ Read More ]
11/24/2014

Nominating Committee for 2015 Novarica Research Council Impact Awards Announced

For those on the technology implementation and management side of the insurance industry the research and advisory firm Novarica is no doubt a very familiar one. The company provides information, insights, and perspectives to industry professionals on a variety of topics and hosts the Novarica Insurance Technology Research Council, a moderated knowledge-sharing community of more than 325 senior IT executives representing more than 300 North American insurers. [ Read More ]
11/19/2014

Kofax to Improve Claims Processing for General Insurance and Asset Management Provider

Improving the business processes associated with mission critical insurance interactions is at the top of most insurers' lists regardless of where they are located around the world. An example of the universality of the need to improve such processes through software automation, which not only improves business process efficiency but also reduces costs while improving the customer experience, is a recent announcement from business process automation specialists Irvine, CA-based Kofax. [ Read More ]
11/19/2014
FREE Insurance Technology enewslettter.

Events

Weekly Live Demo
Contact Center Solutions

Register Today!