5 Big Problems Driving Insurance Modernization
October 26, 2015 11:54 AM
Ovum's study found that investment in core operations platforms is consistently the single largest area of IT spending for insurers. On average, it makes up 61% of budgets. Here's why they're doing it:
Compliance
Three in 10 insurers say that legacy environments today impede their ability to comply with regulators' demands efficiently.
Customer experience
However, taking a longer view, 23% of insurers said that their legacy environments impede customer experience, which will impact the business two years down the line.
Business insight
Seventeen percent of insurers said the biggest problem from legacy is that they can't get a solid view of their own performance.
Speed to market
One in 10 insurers says that legacy impedes speed to market to a point that it's the biggest current problem with their established environment.
Expansion
The same amount said that legacy prevents insurers from growing into new sectors for revenue.