Insurers: Taking on the Cutting Edge and Adding Value

George Moore
President and CTO
e2Value

Great to have you with us George. What separated last year’s successes from the failures?

The successful companies were those that chose vendors that integrated many services into their offerings while adapting their processes to the company’s environment. Rather than buy a watered down, one-size-fits-all product from a single vendor, these insurers obtained powerful solutions by using vendors that integrate best-of-breed products seamlessly into their own infrastructure. Through this approach, they also increased their STP efficiencies and extended the reach of their workflows to include vendors and external partners. Then as platforms evolved, the companies were able to make changes according to their own schedules.

Your advice on next steps?

First, insurers and their vendors must ensure their systems easily connect to each other. Second, insurers must insist that all vendors migrate toward standardization of code or platforms for transfer, updates, analytics, etc. This critical step will enable plug ‘n’ play utilization of a company’s data by vendors and applications. Building a “community” attitude is essential to technological progress in the industry.

Exciting technologies becoming available?

The first is the improvement in public and private property data sources. These databases can be leveraged to populate known property characteristics and release more efficient products that require significantly less user input. The second is the advancements in Geographic Information Systems (GIS). When packaged with existing workflow products and management reporting, GISs help underwriters make better-informed decisions on day one of the workflow. That improves their ROI because they can collect more accurate premiums from the outset, instead of playing catch-up as they have traditionally done.

Your one message?

Today’s technology gives insurers the ability to access and mine more data than was previously possible and hence make more profitable underwriting decisions. Companies should seek out vendors that understand how best to deploy technology that meets their needs for accuracy, timeliness, affordability, and ease of use. Insurers need not be afraid of technological change or believe that change is financially out of their reach. Adapting to new technology will make their lives easier and provide a higher ROI.