HfS recently undertook a research study to shed light on the industry shift towards As-A-Service, surveying 50 P&C insurance executives across North America. They share their thoughts on As-A-Service solutions, along with their strategies for navigating change within the insurance technology landscape.
As an industry, we’ve been writing and talking about legacy technology constraints and challenges for several years in insurance. Carriers have been well aware of the impending expiry dates for their ageing platforms, with so many still using systems today that were designed 40-50 years ago. As a result, their key priority for the next few years is sun-setting and replacing these systems.
Our recent interactions with the insurance line-of-business as well as technology leaders suggest that they seek guidance about how their peers are navigating industry disruption to be able to make more informed decisions about core platform transformation. HfS Research recently undertook a research study to shed some light on this industry shift, wherein we surveyed 50 property and casualty (P&C) insurance executives in North America. These leaders are making and/or influencing buying decisions related to technology and services around insurance policy administration systems.
In this paper, we highlight the current Policy Administration System (PAS) investments and experience of these carriers, their perceptions of As-a-Service solutions, and most importantly, their medium to longterm expectations and preparations for the changing insurance technology landscape. We also present the key trends and drivers for core insurance administration systems moving to As-a-Service delivery.