PriyaPatel
TLDR:
- 71% of insurance decision-makers are unhappy with the effort required to digitally launch programs
- Legacy rate service organisations (RSOs) are a key challenge in the insurance ecosystem
Key Elements:
71% of decision-makers within the insurance industry expressed dissatisfaction with the effort needed to launch updated insurance programs digitally. The research, outlined in Sure’s 2024 State of Digital Insurance Report, highlighted issues with legacy rate service organizations (RSOs) and the challenges they present in initiating, sustaining, and digitally launching insurance programs. Among the key findings were:
- Almost three-quarters of respondents believe traditional RSOs require substantial effort to operate efficiently
- High costs and limited flexibility are major challenges posed by legacy RSOs
- 75% of respondents reported annual expenditures of at least $1m, with 31% allocating $10m or more
- Only 12% expressed high satisfaction levels with legacy RSOs
Wayne Slavin, co-founder and CEO of Sure, emphasized the need for modern solutions in the insurance industry to address the challenges related to legacy RSOs. He highlighted the significant investments made by carriers into their RSOs and the low satisfaction levels reported by the industry. Slavin urged for a new way forward to provide more efficient and customer-centric insurance options for consumers.
Overall, the research underscores the need for innovation and digital transformation within the insurance sector to address inefficiencies, high costs, and limited flexibility associated with legacy RSOs. Carriers and insurance professionals need modern solutions to meet consumer expectations and provide seamless insurance programs.
