While 2020 was not the year that anyone had anticipated, yet it undoubtedly accelerated the pace of digital transformation. It compelled organizations from diverse industries to strongly consider moving to the cloud. And, the insurance business as part of the financial services vertical were no different.
Insurers were initially cautious about moving key businesses to the cloud. But they are now looking at redefining the landscape with collaborations. They are set to capitalize on the surge in insurtech alliances triggered because of the COVID-19 pandemic.
If you are someone who wishes to harness the benefits from cloud adoption for your insurance business while making the transition journey smooth & successful, then this article is for you!
The cloud has revolutionized the way companies work. Ranging from its on-demand scalability to pay-as-you-use flexibility and centralization to easy access for improved disaster recovery; as it brings vital business benefits for insurers such as:
The cloud value proposition has never been more compelling for insurance carriers
We can help you secure your future success with new digital capabilities that harness the power of the cloud.
Cloud migration in insurance helps secure the future of the industry though it is not without challenges. It demands careful planning, substantial time and adequate resources.
Having a technology partner that both understands the complexities of the commercial landscape and has extensive experience in implementing enterprise-grade cloud infrastructure can help you build the right solution for your insurance business.
In the distant future, there looms possible competition from deep-pocketed players like Google, Amazon & Facebook. Amazon is already looking to disrupt the insurance industry in the UK, France, Germany, Italy & Spain. From optimizing operational costs to improving overall accuracy and enhancing customer experience to maximize the returns on allocated resources, insurers are fraught with challenges on every front.
Additionally, IT budgets are being further squeezed, making it all the more challenging to implement new solutions and drive innovation. But the major bottlenecks that limit carrier’s ability to migrate are:
Even if insurers can tackle some or most of these challenges, there are other impending issues like investing in the teams, tools, and systems needed for a seamless transformation. For these reasons, it is important to predict your future needs and plan for the adoption in advance. To ensure a successful transition, start by understanding which model best suits your business needs.
The most common mistake that companies commit is presuming they should go all-in one adoption. But many insurers have achieved success with an incremental approach. The most vital decision to make before doing anything is to define a clear-cut roadmap.
Rishabh leverages an experienced team and industry-leading infrastructure to tailor quick-to-deploy solutions. Here are some of the important considerations for an insurance agency before moving to the cloud.
|AWS||Microsoft Azure||Google Cloud|
|USP||A global leader in public cloud computing with professional support for storing & maintaining data lineage at scale||A hybrid player with infrastructure configuration best suited for big enterprise-grade projects||Ideal for managing multi-cloud workloads, GC is feasible and offers unmatched flexibility, scalability & interoperability to insurance carriers|
|Key Offerings||Compute resources, secure data storage, database, networking, machine learning, analytics & AI, developer tools, enterprise applications, IoT, blockchain.||Storage, compute resources, mobile, CDN, data management, AI & ML, IoT, developer tools, blockchain, functions.||Compute, networking, databases, storage, big data, management tools, IoT, cloud AI, API platform, security.|
|Cost||12-month free tier||12-month free tier||12-month free tier|
Insurers may see the adoption as a daunting process but with a defined roadmap and following the listed 4 key steps the transition would become smoother:
With an experienced technology partner, a proven roadmap, and the right service provider, your organization can solve complex challenges, speed up your digital transformation and uncover new opportunities to reach customers.
Here’s a comprehensive list of modules to include in a comprehensive platform that boosts your productivity, saves time and efficiently caters to your customer needs.
Policy Life-Cycle Management
Agent & Broker Management
Secure Document Management
Import & Export Capabilities
How Cloud Migration Enabled A Leading Dutch Insurer To Cut Infrastructure Costs By More Than 50%
A health insurance company’s premium calculator attracted at least 12,000 users daily for only two months in a year. This yearly cycle meant unnecessary payments for infrastructure and server capacity that remained unused for the remaining 10 months. The spike in online traffic exerted immense pressure on the digital infrastructure throughout November and December.
Additionally, with more and more policyholders turning to the digital platform, the peak in traffic would only grow.
To cope with this, the company was looking for a more cost-efficient and scalable alternative to hosting. Moving the application to the cloud made sense and it empowered the insurance carrier to:
By migrating their calculator app to Microsoft Azure, the insurance company unlocked its capability to scale infrastructure on demand and reduced hosting cost. The move was well worth the effort and proved to be highly profitable.
To conclude, a move to the cloud may seem costly for insurers. In the distant future, it will drive the way for businesses. Forward-thinking organizations that will embrace it early will have an added advantage. Those who are reluctant to this change may later struggle to match their competitors.
They must budget for bandwidth, migration, adoption, training, rewriting application architecture to name just a few items. The integration of clouds and legacy infrastructure during a migration phase can be challenging. But in the long run, it would help benefit from reduced IT overhead costs with inoperability and efficiency improvements.
Rishabh Software has extensive experience in implementing solutions for the cloud in the insurance industry that are tailored to meet the industry’s dynamic needs. We can also help you build custom cloud solutions to automate your business operations, enhance customer experience and lower your overheads.
You can count on our experienced team, equipped with a comprehensive technology stack to help you create the best solution for your business. We will work with your team to capitalize on the cloud.
Unlock the value for your business and evolve for innovation & growth.