Almost two-thirds (63%) of insurance respondents in Singapore expect to change their core insurance management platform by the end of 2024. This compares to 41% globally. This is one of several key findings in a comprehensive new global report commissioned by Novidea. , creator of a cloud-based, data-driven insurance management platform for brokers, agents, MGAs/MGUs, carriers, and wholesalers.
The report, “Legacy Out, Digitalization In: The State of Modern Insurance Technology 2024,” is based on data collected in a 2023 survey of 330 full-time, C-level insurance leaders across eight countries. I am. This study highlights the struggles insurance organizations face with aging and disparate technologies that are difficult to manage, scale, and leverage to meet the needs of digital transformation.
The average organization manages six different insurance technology systems, and the average age of these systems is more than five years. Additionally, these C-level insurance leaders need help properly training their employees to get the most value from their technology systems, especially when their staff is working remotely.
“This data will help Singapore’s insurance industry leaders prepare for future decisions on the technological changes needed to better meet customer expectations for modern, digital-first experiences to remain competitive. It shows that it is done. This is why we expanded into Southeast Asia late last year to support this market transformation,” said Roy Agababa, his CEO at Novidea. “Our existing market-leading insurance customers in Singapore have already taken steps to replace their traditional technology stacks, and our findings show that a large portion of the market will drive digital transformation this year.”
Key data points in the report include:
? Respondents believe that Singapore has traditionally been underserved by technology and that organizations in the region are looking to turn this around and deliver real value to customers by investing in technology. It says that there is.
? Singaporean respondents place high importance on customer-centric technology onboarding, at 70% compared to 41% globally.
? By 2025, 75% of insurance organizations worldwide will be preparing to implement a new core insurance management platform
? 76% of commercial insurance organizations with more than 5,000 employees use six to 10 or more insurance technologies.
? 41% of insurance management platforms were introduced 5-15 years ago
When asked to identify the biggest challenges with current technology systems, insurance industry leaders cited data quality (41%), data privacy and security (35%), and scale (35%) issues. Ta. CEOs in particular were more concerned about their ability to scale, with 50% citing it as their biggest challenge compared to 33% of the rest of the C-suite.
To gain deeper insight into insurance companies’ use of technology, Novidea commissioned an international survey of C-level insurance employees, including CEOs, CTOs, CIOs, CFOs, and COOs. The respondent is an insurance broker, agent, and makes business decisions for her MGA. Countries surveyed include the United States, United Kingdom, Singapore, France, Germany, Italy, Spain, and Australia.