It’s official. Insurance has moved on. It is very big business and new technologies have changed how agencies offer their products – as well as how customers buy their cover. It’s a revolution that demands modernization.
The $1.2trn insurance industry understands this need to modernize, with insurers spending nearly $187.3bn in IT in 2016.That’s 25.7% of all financial services spending. However, Agencies in the industry must invest heavily to keep up with the technology revolution fuelled by customer demand.
While start-ups can easily implement new technologies, most insurance organizations have so-called legacy software and IT infrastructures: according to McKinsey nine in 10 firms consider their legacy technology as barriers to digitalization and a roadblock on the path to innovation. However, those tempted to ‘rip and replace’ should think carefully.
Allianz, a Micro Focus customer, uses technology that enables call center agents, service users, and underwriters to access older, business-critical systems in a modern way. Modernization helps Allianz stay competitive and offer new services.
Allianz matches its current infrastructure with disruptive technology, as demonstrated by its investment in the new US insurance company, Lemonade. There are sweet dividends for customers.
What this change means
Lemonade recently settled a claim in three seconds. This included cross-referencing it with policy details, running 18 anti-fraud algorithms and crediting the policyholder’s bank account. CEO Daniel Schreiber explained: “All …. customer interactions are digital. We see every transaction real-time, and [our] business intelligence systems crunch the data and present actionable insights.” It’s an exciting fusion of front-end innovation and back-end data management.
Micro Focus customer Renew Insurance (now part of Hastings Direct), is another great example of coupling new technologies with legacy systems. By using Micro Focus Reflection, the firm has improved productivity and reduced the number of accounts staff, automated repetitive tasks to streamline insurance processing, produce daily reports and monthly Bordereaux reports.
Take a look at your host access
Host, or mainframe access, is key to successful modernization. Micro Focus Reflection ZFE enables secure host access from any web-enabled device without the need for an individual client on each machine. It delivers simplified zero-footprint access, and reduces the resource-intensive cycle of installing, configuring, patching, and managing traditional desktop emulators.
In addition to ZFE, Micro Focus has a dedicated product suite for accessing time-proven tech with exciting new interfaces, called Application Modernization and Connectivity.
Ready to bring your host access into the modern world, while ensuring complete security? Download the whitepaper “Integrating Host Systems with Modern Security Frameworks”