PriyaPatel
TLDR:
75% of insurance organizations are expected to replace their core insurance management platforms by 2025, according to a new report from Novidea. The report reveals that 99% of global insurance organizations have plans to change their core technology systems, with many indicating an upgrade within the next 12 months. Challenges identified by insurance leaders include data quality, privacy and security, and scale.
Key points:
- 75% of insurance organizations plan to replace core insurance management platforms by 2025, says a report from Novidea.
- A survey of 330 full-time, C-level insurance leaders across eight countries underpins the findings.
- Brokers feel underprepared for the upcoming Core Data Record (CDR) and Blueprint 2.0 developments, according to the report.
- 76% of enterprise insurance companies with more than 5k employees are dealing with at least six insurance technologies.
- Less than half of broker management platforms and policy administration systems have been implemented within the past five years, indicating outdated technology.
Summary:
According to a new report from Novidea, 75% of insurance organizations are set to replace their core insurance management platforms by 2025. The global report, built upon data collected from a survey of 330 full-time, C-level insurance leaders across eight countries, reveals that 99% of global insurance organizations are planning to change their core technology systems. Of those surveyed, 41% foresee an upgrade to their core systems within the next 12 months, with another 34% planning to do so by 2025. Insurance leaders have identified challenges including issues with data quality (41%), data privacy and security (35%), and scale (35%). Notably, only 13% of brokers consider themselves “very ready” to meet the standards set by upcoming Core Data Record (CDR) and Blueprint 2.0 developments. The report also highlights that 76% of enterprise insurance companies with more than 5k employees are grappling with at least six insurance technologies, and that 41% of broker management platforms and policy administration systems have been implemented between five and fifteen years ago, indicating a struggle with outdated technology.
